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A week and a year in politics

(CNS): 2012 ended with a political week that will go down in local history books, when McKeeva Bush, the first premier of Cayman, was arrested at his home in the early hours of Tuesday, 11 December, and ousted from the top job by his colleagues seven days later. However, 2012 was marked throughout by political turmoil and from the very start of the year Bush’s government faced intense criticism, significant financial problems, enormous pressure from the UK, and was perpetually under the suspicion of corruption. Things started badly for Bush when, despite his claims that it he had stabilized public finances, it was revealed that he had been forced to increase the government overdraft by $10 million. (Photo Dennie Warren Jr)

January: Costing the public purse around $50,000 in bank fees, the then premier had to ask the UK’s permission to raise the government overdraft from $15 to $25 million in order to pay bills ahead of the expected revenue collection in January. As criticisms of his administration mounted, in his New Year message Bush once again pointed to a list of hoped for, but never materialized, development projects as Cayman’s economic saviours.

Activists against the ForCayman Investment Alliance continued their campaign and revealed that the length of the West Bay Road which Dart planned to close was far longer than originally stated. FOI requests also confirmed that the DECCO dump bid, which was part of the deal, had actually been ranked as the lowest bid by the government’s own technical committee during the tendering process.

Meanwhile, the premier complained bitterly about good governance and best practice at the Cayman Business Outlook conference. He said it would cost his government around a quarter of a million dollars for consultants to tell him that the ForCayman deal was good for the country as a result of the requirements under the new agreement he had signed with the UK, the Framework for Fiscal Responsibility, which was to dominate the political year.

At the same conference the investigation into the “Stan Thomas affair” was also discussed when the opposition party chairman said the on-going enquiry was having a detrimental impact on the public and business.

February: The second month of the year brought more uncomfortable revelations for the premier when leaked documents regarding his administration’s efforts to sell its new Government Office Accommodation Building showed that the Central Tenders Committee had refused to act outside of the law at the request of the premier. Bush had asked the CTC to dispense with the usual process and agree to sell the building to an affiliate of the controversial finance company Cohen and Co.

Meanwhile, Independent member for North Side Ezzard Miller filed a complaint with the country’s Anti-Corruption Commission over the $5 million cash donation the Dart Group made to government in connection with the ForCayman Investment Alliance. Although the complaint was later dismissed, the questioning and criticisms of the secret deal continued to plague the Bush government.

Financial difficulties with the government’s budget continued into February, with bills remaining unpaid. However, the serious political challenge to government came when east End MLA Arden McLean and Ezzard Miller launched a petition to trigger a people- initiated referendum on one man, one vote. As the campaign gathered momentum, Bush announced that government would hold a referendum on the issue at the same time as the May 2013 election.

While activists continued to campaign against the Dart deal, the premier was also pressing ahead with talks with the China Harbour Engineering Company (CHEC) over cruise berthing facilities, despite widespread opposition.

Political controversy mounted when Bush announced at a public meeting in East End that he would be funding a potential independent candidate in the district with some $200,000 from the Dart donation. In an unorthodox move that by-passed the district’s sitting political representative, Arden McLean, Bush said his government intended to give John McLean Jr the money so he could be the project manager for a number of local community initiatives.  

March: As the year rolled on and the petition for one man, one vote gathered momentum, the political criticisms of the government heated up. Comments by Bush about a possible fifth seat in West Bay, despite the findings of the Electoral Boundary Commission, brought accusations from Opposition Leader Alden McLaughlin that he was attempting to manipulate the election. Campaigners for one man, one vote called on him to save the country money and simply implement single member constituencies.

Bush tried to deflect some of the political heat by writing to the Anti-Corruption Commission about former Cabinet minister, Arden Mclean, whom he accused of not paying his power bill for over a year during the time he was negotiating a licensing agreement with CUC during the the previous administration. However, the issue was quickly cleared up, as McLean cooperated with the authorities to clear his name. The matter backfired as the opposition then taunted the premier over his own legal troubles regarding the infamous Stan Thomas letter.

The new school facilities continued to be used as a political football as the education minister claimed that the final bill to finish both of the high schools would eventually total around $197 million. Public finances in general presented major problems for the government as it approached the financial year end and another deficit, while efforts to improve government’s public accounting continue to flounder.

The Cayman Contractors Association became the next group to raise concerns over government’s decision to enter into a deal with China Harbour Engineering Company to build the cruise berthing facilities. The cost of the project, the dangers to the local construction industry the inflated CHEC proposal and the environmental damage it could cause were just some of the issues raised by the industry body.

Government came in for some more political beatings when the problems at The Ritz Carlton-Cayman exploded into the public domain, as the property came under receivership but the $6 million duty waiver remained unpaid.

there was more bad news for the UDP when a leading party official and the deputy chair of the National Housing and Development Trust was arrested in connection with an insurance con relating to the affordable homes project in East End.

April: Despite the rough ride for government in the first quarter of the year, things were about to get a lot worse when it was made public that came that the premier was the subject of not one but three separate police investigations.

In a further shocking revelation, the RCIPS confirmed that the enquiry over the Stan Thomas letter was not the only on-going enquiry but that Bush was being investigated over his links with the illegal importation of dynamite and further financial irregularities.

Bush, however, continued to deny any wrongdoing in the face of a 'no confidence' motion from the opposition. He also remained defiant in the face of increasing pressure from the UK to get the cruise berthing project back in line with in best procurement practice.

In the same month Bush changed his mind about the referendum on one man, one vote and in a snap decision called for a July poll in the hopes of pulling the rug from an increasingly successful campaign.

Meanwhile, public finances continued to plague the administration and a report by a UK economic expert reveals further failings in the Cayman government’s ability to account for its spending. The Luck Report pointed to poor understanding and leadership and said the people of Cayman were "without their key controls”.

May: The month of May was far from smelling of roses for the Bush administration, which began with a 'no confidence' motion in the Legislative Assembly. Although his UDP team closed ranks and continued to offer their support for the premier, rumours of cracks in the government mounted. The premier began his campaign against Governor Duncan Taylor and the Foreign and Commonwealth Office (FCO) in earnest with a public attack on Taylor, accusing him of “stealthily and insidiously” undermining the Cayman Islands.

Facing pressure from all directions over the police probes, Bush continued to deny the allegations, describing the investigations as a UK conspiracy against him. As more details about the Stan Thomas affair and Bush’s involvement in the dynamite shipment were revealed, the premier claimed he was merely trying to help a friend. He also produced a second fax relating to the original Stan Thomas letter in an effort to deflect attention and suggested his political assistant, Richard Parchment, had made a mistake with the correspondence.

The planned referendum caused more political division and turmoil when Bush, having hi-jacked the referendum, insisted that, even though this was now a government initiated poll, the result had to be more than 50% of all registered voters rather than a majority of the turnout. In addition, by calling the referendum so late the voters' register was closed within days of the announcement, disenfranchising many new voters.

The unemployment rate for Caymanians climbed to 10%, with no projects breaking ground and public finances still in turmoil. Government efforts to raise cash with the sale of the Water Authority’s sewage system were thwarted when the tendering process was bogged down in further scandal.

Deputy Premier Juliana O’Connor-Connolly (who at the end of the year took helm of the minority government) also came under fire when a report by the Office of the Auditor General revealed that her ministry had unlawfully spent more than half a million dollars in public cash paving private parking lots and driveways in a $3 million public road improvement scheme on Cayman Brac.

Things took an even more painful turn for the UDP when Education Minister Rolston Anglin was arrested in the early hours of 23 May for driving under the influence of alcohol after crashing into a ditch.

June: As the financial year drew to a close, the budget became the centre of political attention — not least the premier’s failure to deliver one. The FCO demanded more cuts, forcing Bush to present an interim emergency appropriation bill and not a proper budget before the year ended. Meanwhile, controversy swirled around CHEC with revelations that the Chinese company remained banned by the World Bank because of fraud and corruption.

The auditor general revealed more shortcomings in the management of public finances and potential abuse of public money and suggested that the public needed to be concerned about how government was handling the public purse. A new white paper published by the UK made it clear Britain would be pushing for better standards of government in its territories and would be taking a more active role.

As campaigns continued against the ForCayman Alliance, documents revealed under the freedom of information law showed that government was limiting an environmental impact assessment into the move of the George Town landfill to Bodden Town to the proposed Dart site in Midland Acres. Bush came in for more criticism over a controversial home saving plan using cash donated by Dart to help pay off people’s mortgage arrears.

Meanwhile, the rollover policy’s future was officially in question when the results of the Term Limit Review Committee’s work recommended the abolition of the seven year term limit.

July: As the new financial year began, Bush faced more calls for his resignation over his failure as minister of finance to produce a budget. The month was dominated by campaigning over the one man, one vote referendum and the controversial "ex-pat tax". 

The premier’s budget was declined several times by the UK when it refused to sanction any borrowing and required a significant surplus. Bush was criticised severely by the opposition and independent members over the budget crisis but he was to receive even more from the public when he attempted to introduce a tax on the earnings of foreign workers, proposing a fundamental change to the local tax system.

In the referendum just over 19% of the electorate voted 'no' to change and in favour of the status quo and multi-member constituencies. More than 80%, however, either voted for one man, one vote and single-member constituencies or did not turn out to the polls at all. Nevertheless, the 5,631 'yes' votes compared to the 3,001 'no' votes failed to win the day under the rules set by Bush, but it was a hollow victory and demonstrated the mood for change in Cayman.

Auditor General Alastair Swarbrick revealed further failures in the government procurement process in a report identifying the waste of scarce resources and a lack of accountability.

Meanwhile, details of government’s deal with Dart finally leaked into the public domain revealing that the developer would be taking a 50% share of all tourism taxes levied from guests staying in any of its properties for the ten years following the development, renovation or acquisition of any hotel, as well as many other concessions. Ezzard Miller said the deal was so bad for Caymanians the premier could not possibly have read it.

Controversy continued to mount for the premier when it was revealed that Brian Tomlinson, the director of the National Roads Authority, was removed from office. The NRA boss was the man who had ordered the seizure of the controversial shipment of 32 tonnes of dynamite imported by Midland Acres, which the premier had tried to have released.

Public officials revealed that members of Cabinet had voted to make top politicians and speakers of the LA 'honourable' for all eternity.

August: As the mercury rose in the thermometers, so did the premier’s temper, with scathing attacks on everyone he perceived to be against him. But he saved his worst for the governor and the auditor general, suggesting that they were hindering rather than helping with the budget problems and Cayman’s economic woes.

After considerable yo-yoing in the face of massive opposition to the proposed ex-pat tax, Bush eventually dropped the controversial revenue measure but continued in a protracted battle with the UK over the budget.

Anarray of new revenue raising measures, mostly impacting the financial services sector, and cuts to civil service salaries were eventually implemented in a budget which was delivered by the premier without UK approval. By the time the debate had finished, however, the UK had given a nod to the 2012/13 spending plans, but with conditions which effectively stripped Bush of his autonomy as finance minister.

The conditions prevented further appropriations, established a budget board headed by the deputy governor and required the CIG to facilitate reviews of the budget by the FCO's economic adviser up to four times throughout the year. The FCO also demanded that Bush adopt the controversial Framework for Fiscal Responsibility into law before the end of September. Bush was further criticised for what was still the highest spending budget in the history of the Cayman Islands and for the further $4.5 million that was allocated to the Nation Building Fund. 

The activist group, Cayman United, which emerged to campaign against the ex-pat tax turned its hand to encouraging people to register to vote and become more aware of exactly what their politicians were doing.

Meanwhile, the director of Midland Acres was charged and convicted over the importation of explosives without a permit and fined $1,300 by a magistrate. Suresh Prasad chose not to fight the case and admitted that the company had erred in its efforts to hasten the production of a significant quantity of marl for a contract it had secured with the Dart Group. The premier’s involvement in this case would later be the cause of his own arrest on suspicion of offences under the anti-corruption law.

The opposition party faced its own political turmoil in August, when the popular representative for East End and leading member of the party, Arden McLean, resigned, formalising the increasingly independent position he had followed.

September: As the hurricane season moved into its busiest phase, the natural storms were nothing compared to the political ones raging in Cayman. A new minister was appointed at the Foreign and Commonwealth Office to oversee the UK’s territories, as well as a new director, but the relationship between the premier and the UK worsened. Bush, however, was overseas for a significant part of the month, including visits to the frozen north and the Far East.

Meanwhile, the education minister made his first public appearance in Summary Court regarding his drinking and driving charge.

Activists continued campaigning against various proposed developments, including the Dart deal, plans for canals in South Sound, the removal of mangroves and the controversies over the Safehaven marina development. The deputy premier also came under fire when Public Accounts Committee examined the controversial Brac paving project.

Although time spent in Cayman during the month was brief, Bush still managed to generate plenty of controversy when he made it clear he would not be fulfilling one of the conditions set out by the UK for its approval of the Cayman government’s budget, as the FFR would not reach the LA until November. Criticising elements of the agreement, he also indicated his intention to change some of it and to add a clause that would make the UK liable for any perceived financial loss to Cayman for following the procedures laid down in it.

October: The month opened with a 'not guilty' plea from the education minister over his DUI charge. Meanwhile, MLA Miller continued to press government to reveal the full details of the controversial Dart deal, which still remains under wraps. Bush’s travelling again came under fire but the premier defended his worldwide journeys, claiming he had to knock on doors for new opportunities. While he was overseas,he signed an MOU with a Philippines corporation which included a potential deal with Cayman Airways.

The information commissioner once again highlighted procedural problems plaguing freedom of information requests and the time authorities were taking to comply with the law, if at all.

Despite bragging by the UDP administration that it had got public finances in order, the auditor general was still unable to audit government's accounts because of the poor quality of information. As a result, the $2 billion of public money spent by the government since it was elected remained unaccounted for.

As the developer Michael Ryan battled his creditors in the courts, the Ritz Carlton-Cayman was sold at auction for US$177.5 million to the company holding the debt for the property. However, the question of who was responsible for the outstanding duty of $6 million owed to government remained unanswered.

The premier geared up for a showdown with the UK as he insisted he would be changing the FFR before it came to the Legislative Assembly. In return, the FCO began indicating it would be prepared to force it into local legislation if the Cayman government failed to honour the agreement to do so.

November: The month began with a very clear indication that Bush was itching for a fight with the British but it was a fight he appeared destined to lose. Bush said he would press ahead with his version of the FFR, but following several days of brinkmanship the premier was forced to back down on both changes to the fiscal agreement as well as his instance on continuing talks with the Chinese firm CHEC to develop the port.

With more calls for his resignation from the public and the opposition benches, Bush remained defiant to the last but was eventually forced, under significant pressure from the UK, to agree to put the port project out to tender and implement the FFR exactly as it was signed.

The premier also came under fire over his failure to secure the repayment of the duty waiver from the new Ritz owners, with whom he engaged in a public spat as he accused them of manipulating the sale price to avoid the real stamp duty rate.

While the Turks and Caicos Islands and the United States went to the polls, despite calls from many directions, including 92% of CNS pollsters, for Bush to step down, the premier pressed on, lurching from controversy to controversy and blaming everyone, from the media to the governor, for the lack of an economic turnaround.

His education minister stood trial over his DUI charge, with witnesses revealing that the minister had told three different stories about the circumstances surrounding his one vehicle collision on the West Bay Road in the early hours of the morning of the accident. However, before the trial concluded the minister changed his position and entered a guilty plea.

With the question of how Cayman would vote in the 2013 general election to accommodate the constitutional requirement for three extra seats still in question, a new political group emerged that denied being a party but said it would offer support for independent candidates. The Coalition for Cayman (C4C), which called itself an advocacy group, attracted hundreds to its first meeting but was later to attract controversy because of its ambiguity and its former links to the UDP.

Eventually, just weeks before the deadline for the election writs, Bush implemented what he and many believed to be the worst of options for the 2013 general election, giving the capital six seats and electors there six votes.

With the implementation of the Bill of Rights, the independent member for North Side issued a warning that the obvious inequality in Cayman’s voting system could very well be challenged in the courts as being both contrary to those newly bestowed human rights as well as being unconstitutional.

An FOI request revealed that the deputy premier had racked up a $200k travel bill since taking office on trips as far afield as Kenya and Sri Lanka, as well as a controversial trip to a postal conference in Doha, which cost the public purse more than $41,000.

Meanwhile, over on the opposition benches, the PPM began revealing more details of its newly shaped party as it crowned Moses Kirkconnell as the party's new deputy leader and the first ever official deputy leader of the opposition.

December: The last month of the year started quietly enough with the premier in London for the annual overseas territories meeting. A regional university announced its intention to award Bush with an honorary doctorate and Michael Misick, the former Turks and Caicos premier, was arrested in Brazil in connection with his involvement in a massive corruption scandal.

A week, they say, is a long time in politics and so it was to be for Bush. 

In an unexpected turn of events, more than 18 months after the RCIPS had admitted that Bush was the centre of a police corruption probe and almost 8 months after revelations that he was the subject of two further investigations, the premier was a arrested at his home in West Bay at 7am on 11 December. 

Arrested on suspicion of theft and several offences under the anti-corruption law, the premier was questioned for two days before being released without charge but on police bail until February.

As the story exploded on the world stage, Bush, true to form, remained defiant and protested his innocence. Refusing to resign following his release from custody, he headed off to Jamaica to keep his engagement to speak at a graduation ceremony at the University College of the Caribbean in Kingston,although the college did not in the end bestow the promised honorary Phd. 

Back in Cayman, the silence from his party colleagues was deafening. For some five days the caucus remained in closed door meetings as the opposition and independent members filed a 'no confidence' motion in the country’s parliament. In a surprise move, five of the UDP parliamentary group eventually opted to join with the opposition benches and bring down their own administration.

At a special meeting of the LA, Bush crossed the floor with his remaining loyal members — Mike Adam (which came as a surprise to many), along with Ellio Solomon and Captain Eugene Ebanks (which did not).

One week after the arrest, Bush was ousted from the premiership when the governor agreed to allow the minority UDP five to form a short term government under the leadership of the deputy premier to take Cayman to the next election. The opposition benches agreed  to support the interim government merely to form a quorum, which will enable it to limp on till May.

The UDP suffered further blows before the year was out when one of the party’s leading members, Mario Rankin, was arrested in connection with immigration offences.

Bush had clearly been hoping that all of his colleagues would have continued their support of him as they had since the police probes were first revealed. However, obviously hurt by their actions, the premier came out fighting and held a public meeting in George Town in front of a lively crowd.

With Bush declaring his innocence and insisting his arrest was a UK conspiracy, the UDP party faithful also remained defiant and began moves to oust the members of the minority government from the party.

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Bush set to face the people

(CNS): The former Cayman Island premier is scheduled to hold a public meeting in George Town this evening, when he is expected to speak about his recent ousting from office and the new shape of the United Democratic Party. The political group is now divided between support for the ‘former UDP Five’ now holding government and the ‘Bush Four’, following theousting of McKeeva Bush’s government on Tuesday. Following a meeting with Bush and the UDP membership last night, it is understood that he moved to oust the five from the UDP and is alleged to have accused them all of various questionable dealings.

Bush, Mike Adam, Capt Eugene Ebanks and Ellio Solomon walked across the floor during the no confidence motion on Wednesday, causing a split in the party. According to sources inside the UDP, Bush is not going quietly and will remain in the political game. Confident that his arrest will not impede his political career and insisting he has done nothing wrong, Bush appears to be ready for what is likely to be a major political battleground in the May 2013 general election.

When Juliana O’Connor-Connolly held her first press briefing yesterday as premier, she and her new cabinet colleagues admitted that they did not now know exactly where they stood in relation to the UDP and being ousted from the party was a risk the five of them took when they made the decision to put country first ahead of their leader.

It is understood that the membership is now lining up behind both sides but it appears Bush will be laying claim to the continued leadership of the original UDP, while those supporting the new government are likely to take on a new moniker in the coming months as the election campaign begins in earnest.

Although the former UDP 5 were unsure of their party label, they did make it clear they would all be running in the next election, including Cline Glidden, who, after joining the new Cabinet, said he was reconsidering his earlier decision to exit the political arena at the next election.

The UDP boss will now be seeking to redefine the party, create a new West Bay team to ensure his own return the Legislative Assembly and take stock on the other districts. With time ticking on the election calendar and as a veteran of the political game, the former premier is likely to concentrate only on George Town, where the six seats will prove a critical component, given the loss of his two Bodden Town members, who will now inevitable split the UDP vote.

Bush is scheduled to speak at 7:30pm at the courthouse in George Town. The former premier was arrested at his home in West Bay some ten days ago (Tuesday 11 December) on suspicion of theft and various offences under the anti-corruption law. The allegations relate to the misuse of a government credit card and the importation of a consignment of dynamite without the correct permits. He has denied all of the accusations and described the arrest as a witch hunt by the UK fuelled by his political foes.

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UDP 5 blame Mac for split

(CNS): The three cabinet members and two back-bench MLAs that remain part of the beleaguered UDP government have blamed the premier for the dilemma that the UDP administration now finds itself in. After Juliana O'Connor-Connolly, Rolston Anglin, Mark Scotland, Cline Glidden and Dwayne Seymour voted in favour of the opposition leader’s no confidence motion in government Tuesday evening, the five members said they were left with no choice given Mckeeva Bush’s refusal to step down, even though all his colleagues agreed that was the only option available. The group now finds itself in a difficult position; it has the support of the opposition benches to form a quorum but not a government. (Photos by Dennie Warren Jr)

In a short statement released early Wednesday morning, following the brief comments by Scotland, the only member of the government benches to speak during the no confidence vote, the five members said the motion had created an extremely difficult day.

“This motion was necessary as the country found itself in a constitutional dilemma caused by the refusal of the premier to step down when all of his caucus requested him to do so,” the group stated. “The caucus considered all possible scenarios, but the majority were still of the view that the right thing for him to do was to step down at this time.”

The group added that they would continue to put Cayman first and work together with all members of the Legislative Assembly to ensure a functioning government and legislature, saying,  “We need united and mature leadership at this time.”

However, the issue is now out of the group’s hands. It may constitute the largest group of the UDP but it cannot hold a majority government without forming a coalition with the opposition or regrouping with Bush and his supporters. As a result, the governor may well proceed to call elections, given the split down the government benches.

As the motion opened for debate on Tuesday, Bush, along with Mike Adam, Captain Eugene Ebanks and Ellio Solomon, crossed the floor to sit on the opposition benches, signalling their split from their five colleagues.

During the debate Scotland said that all of the members had agreed to ask the premier to resign. He said that what they were doing may result in them losing their seats. He did not have a “lack of confidence in the government or his colleague”, he said but they had all agreed to ask the premier to resign and he was standing by that agreement.

“I am sticking to the agreement that we had all made that is in the best interests of all of us — the country , the premier and the government,” Scotland said adding that he was proud to have been elected with the group of UDP parliamentary members. Describing the situation as one that he and the others would rather not be in, he said that, given the construct of the constitution, without the premier’s voluntary resignation this was the best option available.

Neither Scotland nor any of the other members have spoken about the arrest of Bush on suspicion of theft and several offences under the anti-corruption law in relationto the misuse of a government credit card and the importation of dynamite without a permit, but it was clear that the group accepted that, even though no charges have been brought, having a sitting premier on police bail in the face of such allegations was untenable.

Sacrificing their own political futures in the face of the premier’s refusal to resign, the UDP government has now fallen and it is up to the governor to now revoke the premier’s post as he no longer commands a majority group in the legislature and then to decide what to do. He could either anoint Juliana O’Connor Connolly as Cayman’s second premier and allow the five members to attempt to maintain government until the parliament is prorogued in March ahead of the scheduled May general elections, or dissolve the parliament and call for an early election.

The premier, too, remained surprisingly silent on Tuesday, making no contribution to the debate but speaking volumes with his walk across the floor of the parliament. He was later seen at the UDP offices in West Bay with the party faithful but refused to comment on the situation to CNS.

Ellio Solomon, however, denied having an agreement with the caucus to ask the premier to resign, and said it was only one of a number of options the group had discussed. He further denied allegations that he had been the sticking point on a caucus agreement to force the premier to step down and claimed he had been offered the Cabinet post in a reformed government, which he had refused.

Solomon insisted he was standing by the premier because he believed in innocent until proven guilty. As party general secretary, he maintained that Bush still commanded the support of the party membership and that the government group which had just expressed a lack of confidence in themselves could not expect anyone else to have confidence in them.

He said that the party split now had to be addressed and in the meantime, if the members that had ousted the premier and themselves from office were able to limp on, he, the premier, Adam and Ebanks would examine legislation on merit. But, he said, the Bush four would not support the five other members to form a government, as he accused them all of mounting a power grab.

Sources inside the UDP told CNS on Tuesday evening that there was no consensus in the party rank to support Bush remaining as premier and a cabinet minister and the wider party membership was expecting to meet Wednesday.

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UDP split on support for Bush

(CNS): In the face of mounting rumour and speculation Monday, members of the United Democratic Party caucus spent the day flip-flopping over their decision to withdraw support for the premier in the wake of his arrest last Tuesday, sources close to the party told CNS. There was still no official word from the UDP almost a week after the arrest and the beleaguered premier also remained silent on the cracks in loyalty to him, but UDP backbencher Ellio Solomon publicly stated that he was backing McKeeva Bush in his decision to remain in office. With the party split down the middle over his refusal to step down, the caucus was unable to retain a united front. As a result, Cayman is now likely to face an early general election and could be going to the polls in March.

The premier and his supporters cannot count on all of the UDP members to defeat a no confidence vote and those who have declared against the premier cannot reform government without all eight standing together, leaving Cabinet members and the UDP mute.

The governor’s office has stated that it has received no word from either side. The office confirmed to CNS Monday that it had not heard anything from the party membership or the premier about the situation and until the governor heard from one or the other, the premier remained in charge of the Cayman government.

The premier was arrested on Tuesday 11 December on suspicion of theft and various offences under the anti-corruption law in relation to the alleged misuse of a government credit card and the importation of dynamite by Midland Acres without the correct permit. Since then, the UDP government has been silent about whether or not the party remained behind him. However, caucus members, with the exception of Solomon, handed Bush a letter this weekend asking him to step aside until the police investigation into corruption was concluded.

Bush was released on Thursday on police bail until February. Following his departure to Jamaica last Thursday, he issued a statement confirming that he had no intentions of resigning. The premier has maintained that he is innocent of all allegations and planned to remain as the Cayman Islands premier but his colleagues appear to be hopelessly split over their support for the party leader. Although Bush insists he is staying, the UDP caucus does have the power to oust him, but so far the eight remaining Cabinet members and back benchers have been in turmoil and have failed to use that power.

Throughout the weekend and all of Monday at least four members of the UDP caucus have flip-flopped over their support for the premier, with three members solid in their opposition and only one solid in support. 

By Monday evening there was still no word from Cabinet, caucus or the party’s general council and only Solomon spoke up publicly for Bush, saying in an interview with Cayman27 that he supported the premier remaining in office and had not signed the letter. However, sources tell CNS that Solomon’s continued support for Bush is because the rest of his party colleagues refused to sanction him taking a Cabinet post rather than any genuine support for the UDP boss and political veteran.

The indecision of the UDP leaves the country in crisis as the premier was reportedly insisting he was not resigning Monday. While he clearly no longer carries the cross-rank support he had managed to maintain since last summer when the police interest in him was revealed, the party membership has still not been brave enough to oust their leader. With the UDP split, neither group will be able to command a majority and the government is increasingly likely to fall before Christmas, triggering elections within ten weeks.

Bush himself remained silent Monday, despite stating that he planned to deliver a statement to the people in the evening. He was said to have accused his party colleagues of stabbing him in the back and that he would not be resigning but was taking some time off on the advice of his doctor until Cabinet reconvened in January.

He was, however, spotted at a charity football event in the evening while his West Bay political colleagues were unable to join him as they remained locked behind closed doors wrangling over who would and who wouldn’t stand by the UDP leader.

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UDP gathers at Bush’s home

(CNS): Several members of the United Democratic Party were seen arriving at the premier‘s house in West Bay Tuesday evening after McKeeva Bush’s release from police custody following his arrest. However, there has still been no public comment about the party’s position on the premier remaining as leader of the UDP and leader of the government. The UDP released a very short statement yesterday (Tuesday) via the deputy premier’s ministry stating that the caucus was convened and the government understood the gravity of the situation. Since then, no further official statements have been made by any member of the party.

The 57-year-old premier, who has served as the representative for West Bay since 1984, was expected to be back in police custody Wednesday morning to face further questioning regarding his arrest in connection with a police corruption investigation.

Officers from the RCIPS Financial Crime Unit arrested him on Tuesday 11 December at his home in West Bay at around 7am. Although the police have given only broad information about the probe, a police spokesperson said Bush was arrested on suspicion of theft, in connection with financial irregularities relating to the alleged misuse of a government credit card, and various offences under the Anti-Corruption Law.

These include suspicion of a breach of trust, abuse of office and conflict of interest, contrary to sections S13, S17 and S19 of the law. The police said that this related to the importation of explosive substances without valid permits on or before February this year.

Bush has been under police investigation since 2010 in connection with the now infamous Stan Thomas letter, which the premier sent to the developer in 2004 from the ministry of tourism, where he was minister at the time, asking for $350,000 in relation to re-zoning of land owned by Thomas along the West Bay Road. However, Bush has persistently denied any wrongdoing in connection with the issue and described it as a real estate bill.

The police confirmed that an enquiry into that correspondence was underway in June last year. Then in April of this year the governor revealed that the premier was the subject of a second investigation. Shortly afterwards, the RCIPS commissioner confirmed that the police were following two further enquiries in addition to the Stan Thomas probe. It was confirmed that one related to “financial irregularities” and the second related to the importation of dynamite by Midland Acres without the necessary permits.

On Tuesday evening the police confirmed that a second man had been arrested in connection with the Bush probe and CNS learned that the man was Suresh Prasad, the managing director of Midland Acres. Earlier this year, Prasad pleaded guilty to four counts relating to the dynamite importation, admitting that the regulatory oversights were down to the need to rush the explosives consignment in order to meet a contract with the Dart Group to supply fill for the developer’s latest projects under the ForCayman Investment Alliance.

At the time that the explosives were seized by the authorities, the premier wrote to the NRA and collector of customs asking for them to release the dynamite. Bush also publicly statedon TV that the email requesting the release was an effort to assist his friend.

Prasad and Bush are understood to have had a friendship spanning many years and the local businessman was also involved in the financing arrangements for the re-development of the Cayman Turtle Farm, among other projects.

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