Archive for June, 2009
Powery no longer missing
(CNS): UPDATE — Friday 9:00am: Police report that contact has been made with Brian McAndrew Powery and concerns for his welfare have been alleviated. Powery, 43, was reported missing on Tuesday 23 June, and it was said at the time that he had been last seen by his family on Wednesday, 17 June, sitting at the George Town bus station and that relatives were concerned for his welfare. The Royal Cayman Islands Police Service has released no further information.
Anyonewith information about crime taking place in the Cayman Islands should contact their local police station or Crime Stoppers on 800-8477 (TIPS). All persons calling Crime Stoppers remain anonymous, and are eligible for a reward of up to $1000, should their information lead to an arrest or recovery of property/drugs.
War on drugs lost
Today (26 June) is World Drug Day and the UN has released a report finally acknowledging that the global effort to address the many and complex issues of drug misuse have tipped far too much toward law enforcement and away from treatment and prevention.
At the risk of ‘them a cumin for me with the pitchforks at dawn’ I am going to stick my head on the block and say it is time that we began discussing our own overly heavy emphasis on the law enforcement part of tackling drug misuse here and our serious lack of commitment to treatment and sensible prevention. The war on drugs has failed everywhere, prohibition has not worked, and while the rather ’radical’ idea (to some) of legalising recreational drug use may seem beyond the pale, the evidence of success and the arguments for this as a solution are mounting.
The concept of legalising drug use as a way of tackling the problem is not new. The arguments have been around for a long time and those arguments are not merely about personal freedom but are based on sound economic and social principles. The arguments are multifaceted but they are logical; sadly, when it comes to drugs, people carry very biased and emotional opinions which prevent them from seeing the logic of the arguments.
Consequently, over the last four decades those putting forward the legalisation argument have been seen as depraved, liberal or extremists because drugs are bad, right? Yes, they are, but so are trans-fats, sugar, caffeine, whiskey, tobacco, rum, heavy cake, tequila, chicken dippers, vodka and, well, a lot of other stuff that people like. What people find particularly upsetting about drugs — and essentially alcohol which is the only thing we allow that does this — is the mind changing bit.
Yet man himself has sought to imbibe mind warping substance since he dropped out of the trees, so denying the human desire to get a little tipsy is itself rather strange. Ironically, the one drug we allow is one of the worst. (I suspect we allow it because of its biblical connections. If Jesus had turned the water into opium, who knows…).
For many people with a tendency to misuse drugs, alcohol is very bad as it makes many people violent compared to other drugs such as extacy or ganja, which by and large do not. Yet here in Cayman the use of both those drugs will see you serving at Her Majesty’s pleasure just for touching them, whereas you can drink till you fall over, bash your wife and crash your car and, unless you do something seriously bad (bashing your wife not serious enough apparently), you are unlikely to end up in jail.
The issue with drug use is that, for some, using drugs is a part of their lives and, aside from the obvious personal health risks, their lives are none the worse for it, while for others, their lives are ruined by the use and drive to get their fix at all costs. If we were to be honest with ourselves, we know that we probably have a considerable number of people going to plush offices on Monday mornings working for leading firms here that probably spent the weekend high on illicit substance, but because they were discreet, paid good money that they had not stolen and didn’t beat anyone up they turn up for work on Monday without having placed any undue burden on the local society.
On the other hand, during the same weekend a teenager from a broken home who has emotional difficulties already, no job or hope may well have had to break into a house, fight a few people and generally cause a nuisance before he scored enough crack for his pipe.
Drugs are entrenched in our community and so is the crime that goes with it. If we really want to address the problem we must change our view of drugs as evil and look at them as another commodity that needs to be controlled, like alcohol or tobacco. But above all society needs to take these dangerous substances from the hands of the criminals and put them in the hands of the community and make them legal to buy, sell and use. Right now when the two major manufactures of cola go up against each other to sell their goods, the sales representatives don’t shoot each other for the market share. They compete in a legal arena using pop stars and gimmicks. However, if the drink was prohibited they probably would start shooting because making cola illegal would not stop some people wanting it.
This was demonstrated by the prohibition of alcohol in America. The US government effectively created organised crime as a result of that prohibition. Once it was legalised again the hoods and gangs moved to drugs and have stayed there ever since, and it is now the second largest trade in the world after the arms trade.
Legalisation gives governments control instead of the ruthless criminals; it enables governments to tax the goods and ultimately diverts funds. Drugs sold on a legal market would be a fraction of the cost and reduce the amount of acquisitive crime committed to buy them. But more importantly, and the biggest and most positive argument for legalisation is that the billions of dollars spent worldwide trying to fight the illegal trade could be spent on treatment and prevention.
Currently of those billions of dollars spent on law enforcement to fight the war on drugs a tiny fraction is spent on treatment and prevention. Here in Cayman if we compare the annual Drug Court budget with the Drug Task Force …….
Oh, yes! The Drug Court doesn’t have a budget. Well, there we are!
UN backs drug decriminalization in new report
(Huffington Post): The United Nations has lavishly praised drug decriminalization in its annual report on the state of global drug policy. In previous years, the UN drug czar had expressed skepticism about Portugal’s decriminalization, which removed criminal penalties in 2001 for personal drug possession and emphasized treatment over incarceration. But in its 2009 World Drug Report, the UN had little but kind words for Portugal’s. "These conditions keep drugs out of the hands of those who would avoid them under a system of full prohibition, while encouraging treatment, rather than incarceration, for users."
Jackson’s celebrity suicide
(Salon): CNN’s coverage of Michael Jackson’s sudden illness in the minutes before his death was reported captured nicely the way the media has treated him. Nutty people were allowed to talk at length, including a guy who kept saying his concerts in London were in 2010. (They were scheduled for next month.) Wolf Blitzer looked into the camera to tell us earnestly that the head of the concert promotion company had told them that Jackson was in "tip-top shape," and that he’d passed a health exam "with flying colors." Funny how an impossibly pampered 50-year-old guy in top-top shape could just keel over dead.
US TIEA needs protecting
(CNS): The need to ensure that any new tax agreements will not apply retrospectively has been one of the major goals in the ongoing negotiating process of the information exchanges that the Cayman Islands has recently entered into. Criticised for taking too long negotiating these deals, Alden McLaughlin said that during his time in office the technical team had entered into negotiations with a number of countries that are due to be signed but had held firm on the crucial issue of non-retrospective exchange to protect Cayman’s most important TIEA with the United States.
“I hopethe new team has been briefed about our previous negotiations and that this still remains a red line issue,” he told CNS.
Since taking office the new administration has signed a Double Tax Agreement with the UK, has negotiated and signed a bilateral Tax Information Exchange Agreement with Ireland, and has initialled the technical negotiations agreement which had been made with the Netherlands. However, it is not entirely clear whether those agreements could now apply retrospectively.
The former minister with responsibility for financial services, Alden McLaughlin said that while he was criticised for not signing deals quickly enough, the technical team had done a tremendous amount of work and had also been determined to ensure that no new agreements could put Cayman’s commercial advantages at risk.
“We had what we called two red line issues, which were, first, the scope of TIEA and preferences that it not include indirect taxes and, secondly, that they were not retrospective,” he said. “We had gone a long way with Australia, New Zealand and the Netherlands, all of whom had agreed to non-retrospectivity and we believed it was very important to hold these lines.”
McLaughlin explained that holding firm was not just about the business Cayman had done with these particular countries with whom the team were negotiating, as the exposure was fairly limited, but how it would impact existing TIEAs, especially that of the United States. He said if any other country managed to get an exchange agreement with Cayman that allowed for retrospective information requests the United States would seek the same concession, which would have far greater implications for Cayman’s offshore industry.
“The Nordic countries wanted full retrospectivity but we had to hold the line because if we did not the US would certainly demand to renegotiate their agreement. We were aware of the need to be consistent with the agreements,” McLaughlin added. He said the private sector had been pushing for the Cayman Islands government to just sign deals before the G20 but they had not given full consideration to what would happen if the deals signed had not held on this issue.
“I know the argument was made by some in the private sector that we should just go ahead and sign and give them what they wanted,” said McLaughlin adding that another problem was that the demands can be replicated infinitely.
“We can sign enough deals to get off this list but you can be sure there will be another list after that and then another list and another. So it is important to be sensible about the concessions you make. Where you do make concessions we need benefits otherwise we are going to wind up in a situation where other jurisdictions become more attractive because they will have the benefits,” McLaughlin added.
He acknowledged that now he did not know the final parameters of the two new deals signed this week and, as yet, the current government has not provided the information regarding the details of the deals. But McLaughlin said he hoped that the new negotiating team had been briefed and stuck firm to holding those red lines.
According to the final DTA that was signed with the UK (now posted on the HM Treasury website) it states that it will apply from April 2010. However , it does not specifically state that it could not apply retrospectively if an enquiry made in the tax year starting April 2010 was connected to previous years.
McLaughlin said that despite the struggle to maintain the red lines they had also met with beneficial propositions along the way. The former minister said that most of the states his team engaged with were willing to offer some form of commercial benefit in return for a bilateral TIEA.
McLaughlin also said that given the enormous amount of work that the civil servants leading the technical team had put in and the knowledge that Deborah Drummond and Chris Rose had about this matter it was surprising they were not directly involved in the current negotiations.
Fake money still in circulation says FCU
(CNS): Counterfeit money continues to plague Cayman and Police from the Financial Crimes Unit are warning the public to be vigilant over cash exchanges as they continue to received reports of fake notes being in circulation. “Most recently we have seen an increase in fake 100 dollar bills being used, however emphasis should be place on all denominations” said Detective Constable Adrian Neblett from FCU. “We have seen a steady increase in both CI notes and US counterfeit notes, so people should be on the constant look out.”
The RCIPS is asking anyone who receives a counterfeit note to observe the appearance of the person passing the note, as well as that of any companions. DC Neblett also advises that the note should be tagged with a copy of the transaction receipt and bagged separately from other notes. “This will help with our investigations,” he explained. The RCIPS form which should be used for reporting counterfeit money can be found on the CIMA website at www.cimoney.com.ky, under “Currency.”
CIMA said all genuine Cayman Islands currency notes bear a watermark in the form of a turtle, which can be seen when the note is held up to the light. The watermark on the C series notes also includes the letters ‘CIMA’ above the turtle. However it’s important to note that some counterfeit notes also have the watermark so you should not rely solely on this feature to determine if the bill is genuine.
The Authority noted that each C series banknote has a metallic thread running through the note from top to bottom. The thread is imprinted with the words ‘Cayman Islands.’ In counterfeit notes the thread, if it appears, usually looks transparent or white instead of metallic, and sometimes has a grey shadow alongside it.
Each $50 C series note has a silver foil imprint of a stingray on the edge of the note, to the right of the portrait of Her Majesty the Queen. On counterfeit notes, the imprint usually loses the silver colour and appears a flat grey.
Genuine $100 notes carry a shimmery, silver-coloured mark (called a hologram) in the shape of a Cayman schooner. This mark changes colour when the note is tilted. On most counterfeit notes, this feature appears a flat bluish-grey. The serial number on each banknote is different and when receiving notes residents are advised to examine the serial number for any signs of tampering.
Genuine notes are printed on special paper that has a rough texture but counterfeit cash has a smooth texture and will smudge when exposed to water.
Anyone with information about crime taking place in the Cayman Islands should contact their local police station, Financial Crime Unit (949-8797) or Crime Stoppers on 800-8477 (TIPS). All persons calling Crime Stoppers remain anonymous, and are eligible for a reward of up to $1000, should their information lead to an arrest or recovery of property/drugs.
CI agrees deal with Dutch
(CNS): The Cayman Islands government said today that it had finalized the details of another Tax Information Exchange Agreement, this time with the Netherlands. A technical team from the European state was in Cayman this week to agree the terms and protocol for the exchange of information. The proposed agreement was drafted during two days of meetings in George Town on Wednesday and Thursday, 24 and 25 June, and the text has been initialled by both parties.
According to a press release from the Cayman Islands Monetary Authority, the draft agreement covers many of the standard provisions in the Organisation for Economic Cooperation and Development (OECD) model agreement for the exchange of information on tax matters but details of the content were not disclosed.
The negotiations with the Dutch technical team had started under the previous administration and former minister Alden McLaughlin told CNS that talks with the Netherlands had progressed well before the election and he hoped the current team had been briefed with regard to the details which had already been negotiated.
He explained that Deputy Financial Secretary Deborah Drummond had been a key member of the negotiating team along with Chris Rose, and they were the ones that had established the technical grounds on which the two countries could enter into an agreement. However, neither of the former financial experts and were named as being present during this week’s meetings.
Now that the technical teams have initialled the documents, the agreement will be submitted for formal approval by teh cabinet and parliament of both jurisdictions. Attorney General Samuel Bulgin led the Cayman Islands delegation, while Rob van Kuik, International Tax Counsellor for the Netherlands Ministry of Finance, led his country’s delegation.
CIMA stated that Cayman and Holland have agreed to conclude this TIEA in a timely manner and once signed it will add to Cayman’s growing list of tax deals with OECD countries. Cayman needs to have at least 12 deals in place and it currently has ten plus a number of unilateral deals signed under a specialist mechanism legislated last year which has not yet been recognised by the OECD.
Little Cayman iguanas slaughtered by careless drivers
(CNS): The deaths of three large iguanas on Little Cayman are thought to have been caused by vehicles, and drivers are being warned to slow down or be issued with a speeding ticket. “We understand that some areas of the Island are dark and drivers may not always see the animals in the road but if you are travelling at the set limit of 25mph you have a greater chance of spotting them,” said Area Commander for the Sister Islands, Chief Inspector Malcolm Kay.
“Anyone caught exceeding the Island-wide 25mph limit will be issued with a ticket,” said Kay, who will be visiting Little Cayman this weekend (Friday 25 – Saturday 26). Residents in Little Cayman who would like to speak to the Chief Inspector on any subject during his visit can reach him on 526 0759 or malcolm.kay@gov.ky.
Anyone with information about crime taking place in the Cayman Islands should contact their local police station or Crime Stoppers on 800-8477 (TIPS). All persons calling Crime Stoppers remain anonymous, and are eligible for a reward of up to $1000, should their information lead to an arrest or recovery of property/drugs.
Billionaire Stanford in court
(Times Online): The billionaire Allen Stanford arrived at court today wearing an orange prison jumpsuit, handcuffs and leg chains to face charges of swindling investors out of $7 billion. Mr Stanford, who once landed a helicopter at Lord’s cricket ground, was the last inmate to step off the shuttle bus from Montgomery County Jail. Last week a grand jury returned a 21-count indictment against him and three executives from his now defunct Stanford Financial Group. He was arrested in Virginia last Friday and was returned to Texas two days ago. Dick de Guerin, his lawyer, said that it had been a rough few days for Mr Stanford.
Wallabies get stoned, make crop circles
(BBC): Australian wallabies are eating opium poppies and creating crop circles as they hop around "as highas a kite", a government official has said. Lara Giddings, the attorney general for the island state of Tasmania, said the kangaroo-like marsupials were getting into poppy fields grown for medicine. She was reporting to a parliamentary hearing on security for poppy crops. Australia supplies about 50% of the world’s legally-grown opium used to make morphine and other painkillers. "The one interesting bit that I found recently in one of my briefs on the poppy industry was that we have a problem with wallabies entering poppy fields, getting as high as a kite and going around in circles," Lara Giddings told the hearing.