ATTORNEY General Allyson Maynard Gibson today confirmed that the government will pay the salaries of more than 2,000 Baha Mar workers this month as negotiations over the fate of the stalled $3.5bn project continue.
The decision was backed by a Supreme Court order that has adjourned Baha Mar's application for local judicial recognition of its Chapter 11 filing in a US bankruptcy court until next Tuesday.
Mrs Maynard-Gibson said that the Hotel Corporation of the Bahamas was prepared to make the payments for this month, which were estimated by resort officials to average $7.5 million, but would not comment further on whether the government would continue to foot the bill if the matter was not resolved.
Baha Mar on Thursday released a statement saying it “is extremely concerned and disappointed” with the Supreme Court adjournment.
Baha Mar said the adjournment was granted at the joint request of the Office of the Attorney General of the Bahamas and The Export-Import Bank of China, the project’s lender.
“This adjournment unfortunately makes it impossible at this time to act on the US Court approvals we received yesterday (Wednesday), which would allow us, among other things, to pay salaries and benefits for Baha Mar citizens as well as pay ordinary course suppliers and vendors for goods and services post the commencement of the Chapter 11 process. The adjournment has very troubling implications for both the Chapter 11 process and our efforts to position Baha Mar to complete construction and open successfully.”
The Supreme Court has directed Baha Mar, at the request of the Office of the Attorney General, to provide the government with information necessary for the government to pay the salaries of the more than 2,200 Baha Mar employees for the period ending July 3, 2015.
Baha Mar said it is complying with this direction, although the company noted that the government’s “unorthodox request for the direction appeared redundant in light of the US Court yesterday (Wednesday) granting Baha Mar its DIP financing and approving Baha Mar’s motion to operate and fund its payroll in the normal course.”
Baha Mar added: “The government’s objection is quite alarming. As we have made clear all week, time is of the essence for Baha Mar. Having Baha Mar succeed is extremely important to the long-term economic well being of the country.
“We are working as hard as we can on as many fronts as possible to move matters along toward completion and opening of the Baha Mar project. Extensive efforts to reach a compromise with our lender and our contractor have been fruitless and if we are frustrated in taking advantage in The Bahamas of the US Chapter 11 process for very much longer, drastic and regrettable steps, including substantial staff reductions, will have to be taken.”
See Friday’s Tribune for more on this story.
Comments
duppyVAT 9 years, 5 months ago
Lord Jesus .............. why do they want to commit to that?????????? Then how will they (Cabinet) justify NOT paying the thousands of Bahamians they owe now???????? What a can of worms ................... RIP
TruthHurts 9 years, 5 months ago
The Christy group must be footing the bill?? This can not be on the backs of the Bahamian people?? What sense does this make?
I am sadden that this happen to them, but where do we go from here? What is really going on with this situation? I'm stumped!
TalRussell 9 years, 5 months ago
Madame AG, are you being serious? How can you act so quickly, not having had time fully digest the the US bankruptcy filing documents, yet look how long you had the US court file on the thief who stole something like over a quarter million dollars and done nothing to prosecute them? Care to explain?
Funny Minnis would say he is considering the PM's offer to meet over the bankruptcy Baha Mar, is to place his own leadership at even greater risk than he's been able to do without any help from da PM. According to what the PM has been saying, he himself was "blindsided" by the bankruptcy, so anything he can tell Minnis, Minnis can read in the Tribune for he self.
Good Lord Almighty, if da PM and Minnis, were to stands up to at same time say, they are ready act for, and on behalf da people, their FNM and PLP motor vessels is going be capsized, by massive waves of hypocrisy.
Now, we knows what Papa Hubert really meant when he said that he was more PLP, than he former law partner Perry.
Former DPM Brent, I going deal him separately and it ain't going be much pretty.
newcitizen 9 years, 5 months ago
This on top of the fact that Bahamar had said they would use their debtor-in-possession financing to cover the next three weeks of salaries for all employees. Why are we forking over our tax dollars now. Can these employees not get NIB like everyone else?
TalRussell 9 years, 5 months ago
Comrade Newcitizen, I cannot say this strong enough, da AG has just announced a slippery sink hole of taxpayers monies cuz you know it ain't going require much speculation that these millions is just da beginning.
And, to think da Honourable Leader of Her Majesty's Loyal Opposition, would actually be requesting thinking time, over getting his party in bed this PM and AG? Me is shakin me head, aggressively.
"In da name of da Father, and of da Son, and of da Holy Spirit."
Zakary 9 years, 5 months ago
Here's what the Attorney General said;
"The workers should not be used as pawns in negotiations about the future of the project," said Maynard-Gibson at a press conference at her office.
I think we should all understand what's happening now, wow.
DillyTree 9 years, 5 months ago
Maynard-Gibson is just looking for a way to meddle with the US Bankruptcy Court, as the Bahamas has been totally bypassed in the case -- for obvious reasons. This is just a ploy to get involved and meddle in the bankruptcy case. Does anyone actually believe she is acting out of good will?
Besides, BahaMar has just gotten permission from the trustee to use the 80$ million in funds to pay staff as well as keep Melia running. Why does the Bahamas government need to pay anyone?
TalRussell 9 years, 5 months ago
Comrades, honest be my Jesus, when i heard the Madame AG was calling an urgent press conference, I honestly thought she was going to say, the government Bahamaland has taken immediate action through the local courts to sue Baha Mar, for the twenty-four millon dollars they owes BEC, for they lights, and have this afternoon discharged da Pot cake go puts padlock on da lights meter. But what do I know.
DillyTree 9 years, 5 months ago
Tal, as I understand it, that $24 is an OLD DEBT that Baha Mar inherited when they purchased the Crystal Palace. My only question is why did BEC allow it to go unpaid for so long by Crystal Palace? Whose fault is that?
arussell 9 years, 5 months ago
It was the same PLP government in 2002 who allow Phiill Rufin to sell the property to Bahamar whiles still owing BEC and left the country and never look back.......
Islandgirl 9 years, 5 months ago
Allyson, please stop interfering in things that go way beyond your scope of understanding or expertise. Every time perry calls for your involvement in something, we expect nothing more than a load of manure that worsens already bad situations. You all have absolutely DESTROYED this country. Pay them with what money? Isn't that what national insurance unemployment benefits are for? Isn't that why the owners got bankruptcy protection? Is there no way we can have a reputable entity, not this female human, act on behalf of the people of this country instead of covering for every piece of filth this corrupt government is a part of? It is past time for a new election. Every single one of you need to be held in account for this massive and darn near irreparable mess you have created. Greed ruled the day and you need to be exposed and made to compensate and jailed for the rest of your earthly existence. God help us.
TruthHurts 9 years, 5 months ago
Sounds like a 'Burma Road Riot' needs to take place! Sign me up please!
Greentea 9 years, 5 months ago
This is a travesty. I am speechless. Does Madame AG also have businesses at stake in Bahamar? i am told many small businesses have been and will be affected by this. They had stocked stores for the March opening. Will the government pay their workers salaries too?
GrassRoot 9 years, 5 months ago
Baha Mar said the adjournment was granted at the joint request of the Office of the Attorney General of the Bahamas and The Export-Import Bank of China, the project’s lender --- so am I reading "joint request" or is that the journalist's simplification and it should read "at the separate requests by". So AG already schmoozing with CCA. So this Government really does not take sides, ey?
TalRussell 9 years, 5 months ago
Comrades, the US courts have ever right to issue any orders they damn well please, one thing remains and that is the only assets of Baha Mar, are located on Cable Beach and they is all fixed assets on Bahamaland's soil. No seizure of property order, by any foreign court, is enforceable, unless sanctioned by Bahamaland's highest court.
GrassRoot 9 years, 5 months ago
agreed in general and as a matter of principal, having this said though, we all know what they outcome would be if a Bahamian court would supervise the Bankruptcy. So maybe after all it is not the worst thing to have a US court dealing with that. I doubt that the US Judge sits in the pockets of CCA. Here it seems everybody in the Government und probably Judiciary as well, is.
EnoughIsEnough 9 years, 5 months ago
the right words fail me at this time. would the PLP truly be so blatant about buying votes? Do they really think this will work? They don't have to pay the salaries - what part of that don't these idiots get!!!! the DIP was granted for Baha Mar to pay the salaries. What the hell are these friggin' idiots doing????? Are they sleeping? We are not a socialist country - or are we?? We ARE BROKE!!! We can't afford this. My hearts go out to the employees of Baha Mar and I have cried every day since hearing the news, wondering where these bright and talented people will go. BUT the one thing the employees all know is that Sarkis has their back - he is doing everything he can to ensure they are supported through this. No other company has EVER done that in our country. Taking the politics and the money play and the egos out of the equation, the one thing that the actual Baha Mar workers know (and that others on the outside seem to be clueless about ) is that Sarkis really cares for his Bahamian people and really wants his project to be as Bahamian as possible - and he succeeded so far. If you had taken tours through the properties you would see that. I don't work there but I have had the privilege of meeting so many of the workers - Bahamian and expat - and I have heard nothing but respect for Sarkis and his vision. Execution may be questionable but the intent and the passion are pure.
bahamalove 9 years, 5 months ago
There is no way that the Government should now be sticking their big nose into this matter now to save face. You had your chance before and failed! Claiming that you didn't know is no excuse. The entire Cabinet should have resigned by now. As much as I feel for the workers at Baha Mar, the country should not be committed to paying the salaries for a private employer, especially after the employer has already set in motion plans to do do so for at least the next 30 days. At least Mr. Ingraham is partly vindicated from this whole mess. He always thought this this project should have been done in phases. Call him what you want but the man had good instincts for sniffing out potentially bad deals and more common sense than the entire 'Gold Rust' team put together. And don't think that this situation will serve as a good distraction from all of the other PLP mishaps! Bahamians are still waiting on:
TalRussell 9 years, 5 months ago
Comrade God, could have answered prayers and met the needs of thousands Bahamalander's, who felt likes they were watching the political establishment signing over their homeland and prime beaches to foreigners.
I want to remind all you that God is never deaf to your prayers but sometimes he just plays dumb, answers in ways contrary to the need you thought you needed. How do we not know, Him could be speaking to da nation in a way, only He best heard to respond to?
Maybe God has better jobs in mind for da 2000 workers hood-winked into believing Baha Mar was God's way demonstrate answers they's prayers?
Amen when He does answer prayers, He does by embarrassing our lacking in our nationalistic ways, before da entire whole-wide-world?
Economist 9 years, 5 months ago
We have just about guaranteed that The Bahamas will soon be like Greece.
TruthHurts 9 years, 5 months ago
Ain't that some sh%$!!!
DEDDIE 9 years, 5 months ago
Cabinet meeting minutes "what we ga do with all this VAT money"?
TruthHurts 9 years, 5 months ago
Too much money just 'sitting' there and too many morons in charge of overseeing how it will be spent! Lord.. we are in trouble!
GrassRoot 9 years, 5 months ago
I guess another issue is that the Government sets another precedent with this. Why did the Government not cover the salaries for the Hard Rock Café staff? Where do you draw the line? Has that money been accounted for? is that the money the PMs office had earmarked to pay Baha Mar? Why pay the salaries, if Izzie offered to pay?
GrassRoot 9 years, 5 months ago
As a lawyer I am again and again baffled, how fast the AG pulls off her stunts and how long it takes her to bring other matters to resolution.
TalRussell 9 years, 5 months ago
Comrade GrassRoot, cuz Madame AG can pulls off sounding likes, she really thought the whole damn thing up, all by her lone PLP self.
banker 9 years, 5 months ago
I told you this three days ago. They are in the pockets of the Chinese and are agents for the Chinese. There is no longer any legitimate Bahamas government. The Attorney General should be jailed for corruption.
The PLP government will continue the tactics of the Chinese and stall and stall until Izmirlian is forced out. This is a travesty. Democracy is dead in the Bahamas.
Publius 9 years, 5 months ago
True
banker 9 years, 5 months ago
Here is what is going to happen. The PLP and Maynard-Gibson will stall and stall. In the meantime China will apply to the Bahamian courts for repossession of Baha Mar. It will be granted by the Bahamian courts with enough Chinese money for grease. The Chinese know that they own Christie and Maynard Gibson, so that is there next step.
Publius 9 years, 5 months ago
Correct
TheMadHatter 9 years, 5 months ago
Correct. I just hope BahaMar now has enough since not to spend ONE DIME of their now cleared $80 million in this country. They can just say that the Bahamian courts have objected to their plan to save the project, and so they have no choice but to simply stand aside and observe. That Irzmalian guy should try liquify all his Bahamian assets as quickly as possible and get them in a Swiss Bank - yesterday if possible. Obviously he and his money and his wisdom and his goals for young Bahamians to be successful are simply not welcome here.
BahamaPundit 9 years, 5 months ago
Agreed. How much do you think each politician received for forgoing the Bahamas Visa requirement for Chinese citizens? It appears our politicians are all securely wedged in the belly creases of mother China. Of course, there's also the issue that a bankruptcy hearing in US courts might uncover the Chinese bribes and corruption involved with the Bahamar deal. No horse in the race -- you can't fool us twice on that one. It appears that Chinese ownership of the Bahamar resort was the plan all along. Bahamar caught wind of the plan and attempted to out maneuver his pursuers. Truly a game of chess is being played by the three actors, and the Bahamian people are the only ones without a pawn in the game.
Reality_Check 9 years, 5 months ago
The U.S. Department of Justice and certain agencies within the U.S. Department of Homeland Security have been very closely monitoring, for quite sometime now, the conduct of six members of the Bahamas government's cabinet; five were shown sitting and one standing in a cabinet photo that recently appeared in The Tribune. The cases have already been carefully built and are well-documented; in each case it's now only a question of the best time to mete out the appropriate actions warranted by U.S. national security interests. As the saying goes: "Not all bad conduct can be excused"; especially when it sits at the very door step of the United States of America. And "Yes", you may run but you can't hide; and the same holds true for one's financial assets today, no matter how many intermediaries and other jurisdictions may be involved. And "No", the U.S. Embassy in the Bahamas has not been, and will not be, fully briefed on key aspects of these cases. The pivot to Cuba has begun and, for obvious reasons, the Bahamas can be thanked in part for that rather sudden change in U.S. foreign policy.
croberts6969 9 years, 5 months ago
Banker you are dead on. Been saying that since this mess started.
BahamaPundit 9 years, 5 months ago
Question for Banker. What benefit would this investor obtain by filing Chapter 11 in the US? Is this merely a stalling tactic to line up a new investor to prevent the Chinese from foreclosing on their mortgage? But this would only delay the inevitable for 30 days, which is hardly enough time. Surely, this investor no longer actually thinks he can pull Bahamar out of the gutter and back into prosperity. He must know it would be nearly impossible to function with such a venomous relationship with the Bahamian Government. He must be trying to safely retrieve his investment in the resort.
banker 9 years, 5 months ago
Filing Chapter 11 in the US was to try to take the matter out of the Bahamian courts. Look at how fast they got a ruling in the US. Also there is the hope that the Bahamian courts would be forced to follow the US Courts. But that is not going to happen quickly because of the corruption of Allyson Mayonnaise Gibson and Perry Christie. Their Chinese puppetmasters are pulling the strings to thwart the US courts. The next step in this chess game, is an appeal by Baha Mar/Izmirlians to the Privy Council to slap down the odious, corrupt Attorney General.
Islandgirl 9 years, 5 months ago
I do sincerely hope they knock this woman down, and hard. She needs to be removed from the position of Attorney General post haste. She is nothing but a total disgrace and embarrassment to us.
Renegade 9 years, 5 months ago
I largely agree with banker though I am cynical enough to have my suspicions about Irzmirlian as well. What else can you expect from the scion of inherited wealth who as I write this is cavorting in the south of France while 2400 of his employees are pondering their financial futures ;and our visionary Prime Minister is dazed in Barbados leaving our androgynous AG to fight the government's way out of this crisis . Banker is correct Exim bank is a secured creditor and will take steps to recover control of the asset aided and abetted by the government. Now what I want to know is whether or not Allyson has figured out her revenue stream in this process . After all " pawns " is her expression , not mine ; and we all know that the welfare of the Bahamian people is the last thought on her mind!
duppyVAT 9 years, 5 months ago
Yep ......... all her ole man's crooked Bajan ways are showing now
Well_mudda_take_sic 9 years, 5 months ago
Most Bahamians don't know that Maynard-Gibson's father (Clement Maynard) early on in his political life received from Lynden Poodling for virtual nil consideration (i.e. as a gift) upwards of 200 acres of Crown Land in the Western District of New Providence, much of which consisted of a single large tract in a prime area. Yes, the Maynard family have taken much from the Bahamian people and continue to do so to this very today. Allyson Maynard-Gibson's sense of entitlement combined with her deceitful conniving greedy ways makes her about as cruel and evil a despot as one will ever encounter in life. The pain and suffering this woman has caused and continues to cause honest, hardworking Bahamians and their families is immeasurable!
Well_mudda_take_sic 9 years, 5 months ago
The good merciful Lord almighty only takes those who have proven themselves worthy during their lifetime. For all others, including many churchgoers who believe in the Lord and often pray for forgiveness, Satan lies in wait to be joined in hell for all eternity. Take note Maynard-Gibson and the many others like you.
Well_mudda_take_sic 9 years, 5 months ago
We can only hope the Bankruptcy Court in Delaware and the High Court in the UK will both tell the Wicked Witch of the West (our Attorney-General, Allyson Maynard-Gibson) where to carry her arse when she starts her wrongful meddling in matters that she has absolutely no business interfering with. This gigantic debacle, although on our soil, needs to be sorted out by competent legal minds and other very capable professionals without the "what's in it for me" mindset all too commonly found in our country today, especially within our broken legal/justice system. Our Wicked Witch of the West should exercise much care in not getting her crooked nose really bent out of shape thereby causing the Bahamas government to get unnecessarily sued at great expense to the already over-burdened honest hardworking Bahamian taxpayers.
Reality_Check 9 years, 5 months ago
EMPHASIS TO KEY POINT MADE BY "BANKER" IN COMMENT TO ANOTHER ARTICLE: Sarkis Izmirlian and his legal representatives outside of the Bahamas must always be mindful of the fact that Perry Christie and his Cabinet are as firmly in bed with the Chinese as they are with the racketeering mobsters behind the 'illegal' gambling houses now operating with impunity on just about every street corner in our country today. Christie, Davis, Wilchcombe and Maynard-Gibson in particular should be seen as being, for all intents and purposes, agents of the Chinese when it comes to that ruthless foreign government's business and other interests in the Bahamas. It is therefore almost impossible for Sarkis/Baha Mar to get an unbiased fair hearing before any court (judge) in the Bahamas on any matter pertaining to the legal actions they have initiated outside of the Bahamas. Sarkis/Baha Mar and their legal representatives must remain very wary of this fact. Being as dependent as the financially weak Bahamas now is on foreign direct investment from China, the lead legal representatives of Sarkis/Baha Mar in the U.S. and U.K. can expect for the Christie-led PLP government and the Attorney-General of The Bahamas (Allyson Maynard-Gibson) to push very hard for the Bahamian courts to have jurisdiction over the matters under dispute and now the subject of asserted claims. Their efforts to do so must be vigorously thwarted or the Chinese will end up obtaining the home field advantage in the Bahamian court system.
SP 9 years, 5 months ago
Cuba Moving "Surgically At Lightning Speed" - "PLP STILL DOING" The Cha-Cha-Cha
http://www.digitaljournal.com/pr/2601244
CUBA was number one in regional tourism when Bahamas was a fishing village....And they will be number one again.... As successive governments, especially this PLP group of clowns fail to realize it is "A COUNTRY" they are supposed to be building.....Not a "FAMILY, LOVERS & FRIENDS" private enterprise!
PLP & FNM HAS NEVER, AND WILL NEVER move this country forward!
Reality_Check 9 years, 5 months ago
This comment was removed by the site staff for violation of the usage agreement.
John 9 years, 5 months ago
Perry Christie said out of his own mouth that even after you go to God and pray, you have to come back to him to get what you want because he is the prime minister. So God put the prime minister on a world stage and allowed him to get "clothslined" by this Bah Mar saga. Christie was so sure he could bring resolve to the Bah Mar standoff, he was willing to preempt the budget debate and ignore other national matters to run back and forth like a headless chicken, between the Bah Mar parties trying to get the matter settled. And his pomp and cockiness grew as he felt the matter would get resolved. It would be more than just one feather in his hat to solve this matter. But that was not going to happen, at least not yet. In fact Izmirilen dug himself deeper into the trenches and brought out the heavy artillery for war fare. He filed for bankruptcy, more like to protect his own interest, but to the utter shock and embarrassment of the other parties and to the dismay and nn belief of the workers, who are caught up in the middle of all this Why are we trying to turn Bah Mar into a golden calf when Atlantis has taught us many lessons? WHy? Now that God has humbled Christie, those who are affected by this only need to go on their knees and pray and Bah Mar will open quicker that any of us expect. Then Christie, too will know, it is God who is in control. 'When my people who are called by my name shall humble themselves and pray, then shall I hear from heaven and heal their land." Man may change but the word of God never changes. July 10, Independence, national day of prayer and worship., even if in your own house.
duppyVAT 9 years, 5 months ago
Sounds like the Nebuchanezzar story in the book of Daniel the Prophet ...... Where is Myles now when you need him????? ...... or better still Neil Ellis & Co.
Cobalt 9 years, 5 months ago
Amen!
duppyVAT 9 years, 5 months ago
ATTENTION NOLLE AG & PERRY .............. there are thousands of Bahamians that the Government owes for land, outstanding salaries, reassessments, overtime, responsibility allowances, hardships, transportation, etc ............... so they can find $8 million to pay Bahamar workers but owe their own civil servants for 5,10 15 years ??????? The Devil is a liar!!!!!!!!!!!!!!!!
shortpants 9 years, 5 months ago
Neil Ellis & AND all of the churches in the Bahama land all are part of the PLP BULLSHIT.
SP 9 years, 5 months ago
............................... Christie, Izmirlian And The Obvious End Game .............................
The electorate was already sick and tired of Christies' PLP blatant corruption and stupidity. The decision to vote the pirates out in 2017 was a foregone conclusion prior to this situation.
Dumbo Perry Christie has succeeded in pissing off Sarkis Izmirlian and his whole nation which translates into NO CHANCE IN HELL for Dumbo Christie to win the next election no matter how much Chinese money he throws around.
Christies' attempt at double crossing Sarkis Izmirlian is the icing on the cake that will bury Christie so deep he won't need a casket.
Christie is a dead man walking to his political grave in 2017 and there is absolutley nothing he can do to avert his political demise.
Jackass dies as Jackass lived!
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