Archive for December, 2012
Cayman Finance tight lipped over premier’s arrest
(CNS): Despite mounting concerns about the impact the premier's arrest may have on the Cayman Islands financial services sector, the body representing the industry said very little Tuesday. Richard Coles, the chair of Cayman Finance, said it was concerned at hearing of the arrest of McKeeva Bush and, as a jurisdiction that upholds good governance and transparency, the organisation fully expected that due process would be followed. ''As the investigation is ongoing, it would be inappropriate to comment further,'' Coles said, as Cayman waited to hear whether Bush would be charged or released by the police Tuesday after spending the day being questioned by officers from the Financial Crimes Unit.
Bush was arrested at his West Bay home on 11 December at 7am on suspicion of a number of offences relating to theft and corruption in connection with misuse of a government credit card and with the importation of dynamite without a permit.
Mac’s arrest goes global
(CNS): The news of the arrest of the Cayman Islands premier was picked up by the international media instantly on Tuesday, with the story running worldwide on television and hundreds of news media websites. McKeeva Bush was arrested at 7am at his home in West Bay on suspicion of theft and other corruption related charges in connection with the misuse of a government credit card and the importation of explosives. The UDP issued a statement at noon saying they understood the gravity of the situation but no comment could yet be made, adding that the elected UDP members were currently in caucus. Meanwhile, the leader of the opposition said he was confident that the law would take its course and that the authorities needed the opportunity to complete their work unimpeded.
Across the world, from the BBC in London to the Washington Post in the US, the story of Bush's arrest was a headline story with over 100 news sites picking up the story before noon.
Although police remained tight lipped about the arrest and refused to say where the premier was being held, sources told CNS that he was believed to have been taken to the RCIPS' new marine base location in Newlands.
The police revealed that Bush was arrested on suspicion of theft regarding the misuse of a government credit card as well as in connection with his part in the importation of dynamite without the relevant permits by a local company earlier this year.
Opposition Leader Alden McLaughlin stated that, while this was a period of uncertainty for the country, people should remain calm and trust in the rule of law.
“It is designed to deal with and ultimately resolve matters such as this," he stated, adding that the arrest was a hugely damaging body blow to the reputation of Cayman and its government.
"It will do immense harm to our credibility as an international business centre and a place to work and do business,” the opposition leader stated. He continued, “The social and economic interests of these Islands depend on Mr Bush’s colleagues in the Cabinet and on the government Bbackbench acting swiftly and resolutely in this matter to return normalcy to the operations of government and to prevent the further hemorrhaging of the country’s image and reputation.”
He said that accepted international best practice and the conventions of the Westminster system of government provide clear guidance as to the course of action that ought now to be followed by Bush and his Cabinet and supporting backbench MLAs. “We will continue to closely monitor this grave situation over the course of the next 24 hours and will issue another statement as and when circumstances require,” McLaughlin added.
However, as Bush has not yet been charged, never mind convicted, there is nothing in law that preventshim from continuing in office. With the premier still believed to be in police custody, his press secretary on leave and the UDP party faithful behind closed doors, there was little indication of whether the premier intended to come out fighting and remain in office or whether he would step down pending the legal process.
As Bush had been under investigation for over 18 months, the arrest was not unexpected in Cayman. Nevertheless the reality of his arrest sent shock waves through the community.
The first on-the-record public comment came from Chris Duggan, the Cayman Islands Chamber of Commerce president, who said the arrest demonstrated Cayman's robust anti-corruption system.
Speaking on behalf of the business organisation, he said, “The arrest of the premier on alleged breach of trust, abuse of office and theft charges demonstrates Cayman’s robust law enforcement and anti-corruption systems and the Islands’ intolerance with any alleged unethical behaviour or corruption, even at the highest level of political office. The Royal Cayman Islands Police Service’s Financial Crime Unit’s investigation leading up to today’s arrest has been ongoing for several months and the economy has continued to perform robustly, providing quality services and products to the world’s financial markets, international visitors and investors. We are wholly confident that that same level of integrity and service will continue as the case works its way through the judicial system."
Duggan added, “The Chamber of Commerce unequivocally supports all actions by law enforcement officials to root out any unethical behaviour that may damage the reputation of the Cayman Islands as a leading international financial centre and as a quality jurisdiction in which to conduct business and invest."
Charles Clifford, the former tourism minister and Bush's past permanent secretary, who has persistently questioned the integrity of the current and previous UDP administrations, said it was a sad and embarrassing day for Cayman. He commented, “From as far back as 2004 I have been saying that, as a country, if we did not embrace the principles of good governance that this day would come.”
Clifford, who is now a practicing attorney, also stated, “I recognise that the presumption of innocence must apply in all cases, including the arrest of McKeeva Bush. We shall see where the evidence leads.”
Independent members Ezzard Miller and Arden McLean planned to make a live statement at lunchtime, but Miller said that the arrest demonstrated that the rule of law in Cayman was strong and no one was above it.
The governor's office also confirmed that a statement regarding the premier's arrest would be released sometime today.
Keep logged on to CNS for updates throughout the day.
See statements below
CIG will function normally, says governor
(CNS): The Cayman Islands governor, Duncan Taylor, has said that he is committed to ensuring the normal function of government, regardless of the arrest of the premier this morning. Taylor said the whole of the the Cayman Islands Government would ensure its effective functioning and the continued efficient delivery of services to the public. The governor further stated that he had confidence in the police commissioner to carry out a robust and fair enquiry. The statement was released in the wake of the arrest of McKeeva Bush Tuesday in connection with the misuse of a government credit card and the importation of dynamite.
The governor said, “The conduct of criminal investigations in the Cayman Islands is a matter for the police commissioner. If evidence is brought to his attention which leads him to suspect that an offence or offences may have been committed, I expect him to carry out a robust, fair and comprehensive investigation, regardless of the individual concerned. I am confident that the police commissioner will ensure that this applies to the ongoing investigations involving the premier.”
Stingray Swim Club travels to Jamaica
(CIASA): Stingray Swim Club members will travel to Kingston, Jamaica this weekend to compete in the 2012 Christmas Open Swimming Championships at the National Stadium 8-lane, 50m pool. The 14 swimmer squad will compete in over 80 individual events, each with a specific, personal goal attached to it. Swimmers aim for a Personal Best (PB) time with each swim, but at this meet the swimmers will also be chasing qualifying times for the 2013 CARIFTA games in Jamaica and the Island Games in Bermuda next year. With a mixture of CARIFTA experience and first appearances in a 50m pool, Stingray Swim Club Coach, Andy Copley, knows there may be some nerves on deck but he also knows his swimmers are ready.
Mr. Copley said about his team, “They have worked hard for this meet, have put in the time, pushed themselves and met the club’s training requirement to be eligible” he said, adding, “Now they get to compete, swim fast and have fun.”
“Stingray Swim Club is extremely proud of the hard work and commitment which all of our swimmers have exhibited in training this season,” said Club President Brenda McGrath, “and our whole Club will be cheering our swimmers on this weekend whether from the stands at the pool in Kingston, or via the updates we will receive via email, text and BBM.”
The full squad travelling to Jamaica comprises: Samantha Bailey, Stefanie Boothe, Sarah Jackson, Jonathan Key, Katie Klein, Catriona Macrae, Alex McCallum, Iain McCallum, Cole Morgan, Ella Plunkett, Hayley Roulstone, Andrew Smilley, Jayde Solomon and Ashley Theaker. They will be joined by Coach Andy Copley and Team Manager Vickie Girling.
After their Jamaica trip, Stingray Swim Club athletes will be busy taking part in an Inter Squad Christmas Meet; a Back in the Water Burner in January and a Sprint Meet, before travelling to Nassau, Bahamas to take part in a two day meet hosted by the Barracuda Swim Club.
Cayman Prep Under-11s top football league group B
(CUC-PFL): Last Saturday, Cayman Prep School’s Under-11 team rounded off a perfect football season by defeating Red Bay Primary 3-1 in a “top of the table” Group B clash at the Annex Field, George Town. Both schools started the day boasting a perfect record, with five wins out of five and Cayman Prep holding the edge thanks to a superior goal difference. With qualification assured for both schools in the Under-11 Champions Cup Playoffs in January 2013, a very valuable three points were on the line. During the season, Cayman Prep scored an impressive 44 goals so it wasn’t much of a surprise when the Prepsters took the lead in the 16th minute after Aaron Jarvis got on the end of teammate David Pitcairn’s perfect cross.
The impressive young Pitcairn added to his team’s lead in the 35th minute before Red Bay’s Jossiah McLaughlin scored an unfortunate own goal in the 42nd minute to make the score 3-0.
Red Bay’s Mesyass Llewellyn gave his team a glimmer of hope in the 43rd minute after tapping in a loose ball, but it was too late as Cayman Prep held on for the win and the Under-11 Group B championship.
In the Under-9 fixture, Cayman Prep and Red Bay played out an exciting 1-1 draw with Red Bay’s Noel Squire opening the scoring in the 9th minute and Jack Norman equalising for Cayman Prep in the 41st minute.
Other results from Group B were NorthEast Schools 3 vs. Prospect Primary 2 (Under-9); NorthEast Schools 6 vs. Prospect Primary 1 (Under-11) and Triple C 2 vs. South Sound Schools 4 (Under-9).
In Group A it was Sir John A. Cumber Primary 1 vs. St. Ignatius Prep 2 (Under 9); Sir John A. Cumber Primary 0 vs. St. Ignatius Prep 0 (Under 11); George Town Primary 2 vs. Truth For Youth 2 (Under 9); George Town Primary 4 vs. Truth For Youth 1 (Under 11) and Grace Academy 2 vs. Cayman International School (Under 11).
This past Saturday marked the final regular season games of the 2012/2013 CUC PFL season. The 2012/2013 PFL Playoffs commence at 9:00am on Saturday, 5th January, 2013, at the Annex Field.
To view the final 2012/2013 CUC PFL standings, visit CUC’s website at www.cuc-cayman.com. On the home page, go to “About Us”, navigate to “Community Involvement” and click on “Primary Football League”.
Cayman Turtle Farm undergoes review
(CNS): An independent review of the Cayman Turtle Farm (CTF) began Monday, following worrying revelations by an animal activist group. A four member team, which includes vets and scientists but no animal welfare experts, will be at the site in West Bay until Wednesday, and their report is expected in January. The aim of the inspection is to determine whether standards of care meet those required to ensure that the operation is conducted in a “humane manner” and examine standards of husbandry. Although the World Society for the Protection of Animals (WSPA) uncovered a number of major concerns at the farm in a report published earlier this year, the animal welfare group has not been invited to take part in this review. The group raised concerns that the team of inspectors may be compromised.
The team includes Dr. Annette Broderick, a Senior Lecturer in Conservation Biology who has worked with the Farm in the past, and Professor Brendan Godley, a marine conservation scientist and qualified vet. Mt. Godley has already conducted a review of the farm in the past, which may be what the WSPA has said could lead to bias.
In addition, the animal rights activists said that the reviewers are planning to compare the practices employed at the CTF with standards of practice in other “domestic livestock production facilities”.
However, the WSPA has said that, as green sea turtles are not domesticated animals, comparing their production with standards applied to intensive farmed chickens is inappropriate. It has also raised concerns that the welfare of turtles is not part of the review.
In correspondence with the WSPA recently, Tim Adam, managing director of the turtle farm, said that the inspectors are internationally known sea turtle experts and the farm believes they willconduct a fair inspection.
Mr. Adam said, “It is important for the inspection team to maintain its independence and there would likely be a perception of bias if a representative of WSPA, which has campaigned against the CTF, were added. Indeed none of our staff from the CTF will be on the inspection team, since that also would likely lead to the report being discredited as biased.”
Disappointed that it has been excluded from the “independent” review of the Farm and surprised that two of the participants in what is being billed as an “independent” review have close professional ties to the Cayman Turtle Farm, the WSPA said Monday that it had 'severe concerns' that the independence of the review is already compromised and that the welfare of the sea turtles will not be at the heart of this inspection.
“We don’t believe this is either in the best interests of the farm or will provide the Caymanian people with the independent assurances they are demanding, that the Farm is managing the turtles properly,” the WSPA said in a statement. “However we genuinely hope – in the interests of the turtles – to be proven wrong in this instance and that the farm will proceed with total transparency and move to involve, if not us, another leading world-renowned global animal welfare organisation with the expertise to usefully input in to this assessment.”
According to the terms of reference, the inspectors will examine: water quality; stocking densities; treatment and prevention of disease and injury; levels and causes of mortality; levels (if any) of severe injuries; levels (if any) of congenital deformities; handling of animals by guests (including safety of both animals and guests); slaughter methods and practice.
The scientists are also being asked to suggest any reasonable steps by which animal husbandry and care might be improved at thefarm and to comment on the contribution the CTF makes to conservation of turtle species. The terms of reference also indicate that the inspection will be made on the ‘basis of the standards of practice that would apply to a comparable intensive livestock production' in facilities in the UK or USA.
In his previous review of the old Cayman Turtle Farm site in 2002, Professor Godley had noted some concerns at the farm regarding the feed, diseases and mortality rates, but had stated that the standards were “sufficiently high” to meet CITES requirements.
CNS has contacted the CTF for comment regarding the questions surrounding the independence of the inspectors and the failure to include an animal welfare expert in the team, but is still awaiting a response.
See Prof Godfrey’s earlier report below and details of the review team.
See related story on CNS: Report-slams-turtle-farm
Mac arrested on theft charge
(CNS): Premier McKeeva Bush has been arrested and is currently detained in police custody in connection with a number of on-going police investigations. Officers from the RCIPS Financial Crimes Unit (FCU) arrested Bush at around 7.00 am this morning at his home in West Bay on suspicion of theft inconnection with financial irregularities relating to the alleged misuse of a government credit card. This allegation adds to a list which includes breach of trust, abuse of office and conflict of interest, contrary to S13, S17 and S19 of the Anti-Corruption Law 2008 respectively. Allegations also include the importation of explosive substances without valid permits on or before February 2012.
A police spokesperson said it would be inappropriate for the RCIPS to make any further comment in relation to these matters at this time.
Cayman’s Lord rejects proposed UK ‘snooper’ bill
(CNS): Lord Blencathra, the Cayman Islands representative in London and Conservative peer has criticized his government’s draft Communications Data Bill, which proposes to allow law enforcement agencies in Britain access to electronic data. Blencathra is the chair of a Joint Select Committee examining the legislation which has rejected the initial plans, according to reports in the UK press. The scope of plans to monitor data should be significantly decreased, he said, and indicated that major changes were required to the Bill.
"There needs to be some substantial re-writing of the Bill before it is brought before Parliament as we feel that there is a case for legislation, but only if it strikes a better balance between the needs of law enforcement and other agencies and the right to privacy," Blencathra said.
He added that there is a fine but crucial line between giving relevant agencies access to the information necessary for national security, and allowing UK citizens to go about their daily business without fear, however unjustified, that the state is monitoring their every move.
Theresa May, the UK government’s home secretary previously put forward plans which she claimed would protect against terrorism, giving police and other agencies improved powers to monitor electronic communications. However, the committee argued that May should not be given "carte blanche" to order the retention of all types of data. The committee also rejected claims that it is necessary to put in stricter measures to ensure that plans are 'future proofed'.
The Deputy PM Nick Clegg said that plans to increase powers to monitor online communications need to go "back to the drawing board".
Bush decries election change
(CNS): Although it was his government’s choice to amend the elections law by adding two seats to George Town and one to Bodden Town, in order to meet the constitutional requirement to increase the size of the Legislative Assembly, Premier, McKeeva Bush, has said he does not support giving the capital so many votes. Speaking in Monday's debate on the eleventh hour change to the elections law ahead of the May 2013 General Election, Mr. Bush said, “I don’t support the lop-sided position of giving George Town two more members, never mind that they have got 6,000 voters,” as he pointed to the possibility of the capital’s candidates forming the next government with the support of just one other district.
Although there were three options recommended in the Boundary Commission’s report, which was presented to the Legislative Assembly back in June 2010, Bush revealed during Monday’s last minute debate — just two days ahead of the scheduled issuing of the election writ on Wednesday by the governor — that he did not support any of them. He said the United Democratic Party had spent a considerable amount of time deciding what it should do about the increase in the parliament, but eventually decided that it had to follow the Boundary Commission’s recommendation.
He pointed to the decision to facilitate the referendum, noting that one man, one vote was a fundamental change for the Cayman Islands and he did not support putting that in the constitution at the time of the negotiations without putting it to the country first. Bush said he felt it needed to be addressed separately and the referendum result showed there was not full support. However, he acknowledged that the people did not like the idea of George Town’s voters getting such a large number of votes.
Bush railed against the opposition and said if they had wanted one man, one vote so badly they could have changed the law to facilitate it when they had a majority. The premier challenged the opposition leader’s vow to bring in single member constituencies, saying he did not believe he would ever pass one man, one vote. Bush said if the opposition was able to carry the block of six votes in George Town at the next general election, they would never want to give that up.
However, in his contribution to the debate regarding the changes to the elections procedure, the opposition leader made a clear and unequivocal promise that if the PPM was to form the next government, it would introduce one man, one vote in single member constituencies and address the numerous other identified problems with the elections law.
During the debate, North Side MLA, Ezzard Miller, again raised the potential legal problems government was setting up for itself because of the language of the constitution and the Bill of Rights, given government’s decision to allow the inequality in voting to increase.
He warned that the government could be exposed to a human rights challenge by voters who were knowingly being discriminated against, as well as other legal challenges because the elections law was unconstitutional. The constitution calls for electors to vote for “an” elected member and not several, and Miller said the premier had not taken advantage of the opportunity to address it and eliminate the risk of court room challenges.
As a result, Miller filed an amendment to change the law so that all voters just had one vote but the six candidates that received the most votes would be elected in George Town, the first four in West Bay and Bodden Town, and so on.
The attorney general told the members that ‘singular’ in drafting language could also mean ‘plural’ and vice versa, depending on the intent of the law. However, the government’s lawyer made no comment about the possibility of a human rights challenge as a result of the inequity and discrimination that the country’s voters will face across the different districts.
Miller also filed an amendment to address what he said was a growing problem in the law regarding campaign financing. He said that while candidates were allowed to spend $35,000 campaigning as an independent candidate and $30,000 per head for candidates in political parties, this only applied to the period between Nomination Day and the General Election. Potential candidates could however spend whatever they liked before Nomination Day and did not have to report it to the Elections Office. Miller said that television airtime was already getting booked and paid for, which would not be counted in the campaign finance reporting procedure and created the potential for serious imbalance in campaigns.
The independent member said the limit on spending should just apply to the entire election campaign, regardless of when it was spent.
The premier rejected both of Miller’s amendments but he said that the campaign financing allowance needed to be raised as it was not enough to cover an election.
“What we need to be doing is admitting that it costs money to finance an election and you have to spend,” he said. Bush said the law could not cover the period before Nomination Day as no one was an official candidate until then. He spoke out against the advertising rates and noted that it was very expensive to advertise on the television, radio and in the local newspaper during a campaign (although he failed to note how inexpensive advertising is on CNS).
Bush also complained about the cost of having to take down all of the signs, posters and billboards by midnight on the eve of the general election. He said this was extremely expensive because it had to be done so quickly, but thought it was a pointless exercise as it made no difference to the outcome by that time.
The amendment to the elections law was brought by Dax Basdeo in his capacity as acting deputy governor. The only amendment that was made was to allow for the two additional seats in George Town and one in Bodden Town. The government carried the vote, despite the emphatic lack of support for the amendments from both of the independent members.
Although the Elections Office has made a number of recommendations about the need for a number of other amendments to the law, no other changes were made.
Following the debate and the vote, the premier moved a motion to adjourn the House until January, when legislators will return after the Christmas and New Year holiday.
Consultants cost $2.2M
(CNS): The finance ministry spent more than CI$2.2 million of public money on consultants in the period from November 2009 to September 2011, according to the response to an FOI request made by a CNS reader. The applicant requested information on consultant and travel costs in the premier’s ministry. Although the response refers only to the financial part of McKeeva Bush’s areas of responsibility, it reveals that the Financial Services Secretariat alone spent more than $2 million on expert advice and around $175,000 was spent by the UK office, the Financial Services Administration and the Department of Commerce. It also shows that the financial departments in the ministry spent over $500k during the same period on travel.
The request does not detail who the consultants were or what they were advising on but it is understood that the majority of the sum represents the contract government has with Sidley Austin, a legal firm that lobbies on behalf of the Cayman Islands Government on the political scene and in the corridors of power in both the United States and Europe.
The section referring to travel does not offer any details about who was traveling, where they went or for what reason but it indicates that between November 2009 and September 2011 the General Registry, the Department of Commerce and Investment, the Tax Information Authority, the Financial Services Secretariat, the UK office and the Financial Services Administration racked up a travel bill of more than half a million dollars. The largest sum was over $277,000, which was spent by the Financial Services Secretariat.
The request also shows that during the same period the ministry spent just $17,000 on its overseas connections via the Department of Commerce in its Hong Kong office, while it spent some $135,000 on the London office.
CNS is still waiting on the results of an FOI request, which it made to the premier’s ministry on 5 October. Although the response is more than two months late and the Information Commissioner’s Office has now intervened, the ministry has still not been able to answer the CNS request, which asked where the premier had travelled to on official business over the twelve months to October of this year, with whom, why and how much it has cost the public purse.
The public recently made its concerns abundantly clear on the CNS comments board regarding the CI$213,000 spent on official travel by the deputy premier since she was elected to office. A story based on an FOI request that revealed the details and costs of Juliana O’Connor Connolly’s travel since June 2009 generated well over 90 comments, very few of whichwere supportive.
The revelations that the fnance ministry alone racked up more than twice that amount in just two years suggests that once the cost of the premier’s travel on behalf of his tourism portfolio is added to trips made in his role of premier, the bill will be quite significant.
Related articles on CNS:
Seedetails of the freedom of information request below.