The Tribune

By KHRISNA VIRGIL kvirgil@tribunemedia.net FOX Hill MP Fred Mitchell called for government to "cease and desist" all future plans for the Arawak Port Development sharing agreement. His statement came after Prime Minister Hubert Ingraham urged civil servants to buy shares in the project. In an historic bid to further build a "share-owning" society, Mr Ingraham said over the weekend that persons employed by the government for more than five years will be eligible to apply for a salary advance to facilitate the purchase of these shares. The advance will serve as an interest-free loan, he said, repayable to the Treasury Department over a 12-month period. Yesterday, Mr Mitchell said "it was mind boggling that the prime minister would just decide to make such a move" after the PLP had pledged to review the terms of the agreement. "I personally feel that this so-called 'sharing agreement' is just a ploy to block the PLP's original plan to reverse the port move. "We have public servants who just complained that they cannot get advances to do things that they need to do, the necessities. Now he is going to give the government money away to do something speculative." When asked what should be done now that the offering has already been advertised to the public, Mr Mitchell said: "The Securities Exchange Commission (SEC) should amend their prospectus to let the public know that the plan does not look out for their best interest. "Should the SEC make it known, the public may not buy as many shares as the FNM expects." Mr Ingraham said weekly paid persons who have been working for the government for five years or more and have not been made permanent will be treated as though they are permanent for this exercise. Persons in local government on the Family Islands will benefit with policemen, teachers, nurses, customs, immigration, public servants in general administration, public corporations, and Bahamasair employees. Private sector companies and the government own 40 per cent each of APD shares, with 20 per cent shares now available for public offering. Potential investors will be purchasing shares virtually risk-free, said ADP general manager Mike Maura, who underscored the IPO's "awesome" benefits for both Bahamians and the government. The Gladstone Road freight terminal is expected to be completed by the end of February, with the port operational in March. The facilities will allow for the consolidation of Customs and Immigration services, which opens up the possibility of 24/7 port services, Mr Ingraham said. While nearly 100 per cent of the deal has been subscribed, CFAL principal Anthony Ferguson, financial advisers/placement agents, explained that larger investors will not be allowed to dominate the offering due to the "bottom up" process. The first 50 shares of each applicant is honoured first, and in subsequent tiers, Mr Ferguson said. Each share costs $10, with a minimum purchase of 50 shares. Additional shares must be purchased in multiples of $25. The maximum number of shares that may be purchased through salary advance will be 500.