The Tribune

By SANCHESKA BROWN

Tribune Staff Reporter

sbrown@tribunemedia.net

MINISTER of State for Finance Micheal Halkitis defended the Mortgage Relief Programme yesterday and denied reports that the government intended to deceive the public.

He made his comments in the House of Assembly during the second reading of the Homeowners Protection Bill.

Despite previously announcing that only a few people qualified for the relief programme, Mr Halkitis said the government remained committed to exploring ways to help homeowners in distress.

“...There are those who could hardly contain their glee when it was published that at the time I spoke to the reporter and answered the question whether any homeowner had received any money at that time, the answer was no, the critics were falling over each other on their way to the microphone,” he said.

“I also wanted to rubbish the claim, Mr Speaker, that somehow we set out to deceive the Bahamian people with a promise we had no intention of fulfilling. The record is clear, at all times we sough to work with the private sector to jointly develop a plan that we both felt would bring relief. Sadly, what this exercise has uncovered is a level of consumer debt, that when combined with mortgage obligations create a burden that removes financial flexibility. People have literally become slaves to consumer debt made easy by salary deduction.”

Mr Halkitis said the tabling of the bill represents a significant step in the government’s commitment to assist individual home owners at risk of losing their homes due to extraordinary circumstances - not paying people’s bills.

He said the government belived it was a well thought out plan which had as a prominent element, working with the financial institutions to mutally agree on a plan.

Last month, Prime Minister Perry Christie said he was “disappointed” with the way the Mortgage Relief Plan has panned out – with not a single qualified home-owner receiving assistance.

Two weeks ago, Mr Christie said four or five families had since taken advantage of the scheme.

When the plan was introduced last September, there were reportedly around 4,000 homeowners in arrears – though Mr Halkitis later said that number has fallen to around 1,000.

The government had allocated $10 million to the plan, which was a key campaign promise listed in its Charter of Governance.