By NATARIO McKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.net
A web shop operator yesterday said the industry’s employment levels would exceed that of Atlantis “within two to three years”, as he plans to near-double his locations.
Leander Brice, co-founder of GLK Ltd, trading as A Sure Win, told Tribune Business that the company, which currently has 42 locations throughout the Bahamas, would like to grow to 80.
“We believe in creating jobs for Bahamians,” he said. “This is a part of the new economy for the Bahamas. We want to make our contribution to the community as a whole.
“Right now, we have about 208 employees. Eventually we would like to get to 1,000. We believe that this is going to become one of the major contributors to the Bahamian economy in terms of jobs.
“I’m not sure exactly how many employees Atlantis has, but I can guarantee that in the next two to three years I can see the industry exceeding the amount employed at any one of the major hotels.”
While the Canadian-owned banks are standing firmly behind their position not to accept deposits from a legalised web shop industry, Mr Brice argued that
this amounted to discrimination.
“We do feel discriminated against,” he said. “I think this, too, shall pass. It’s just that persons don’t understand the industry and they are quick to label us. Now they can see we are law abiding and regulated.
“I cannot see there being any discrimination against us who are Bahamians, like anyone else. We are businessman and if you’re allowed to get a Business License certified by the Government, you should be able to bank.
“We are grateful that the Bank of the Bahamas has opened their doors to us and allowed us to bank and fulfill our obligations to our employes and our vendors.”
Bank of the Bahamas las year confirmed it had received “clearance” from its own US correspondent bank, JP Morgan Chase, to accept deposits from a legalised web shop industry.
Marie Rodland-Allen, CIBC FirstCaribbean International Bank (Bahamas) managing director, previously confirmed to this newspaper that
the three Canadian-owned banks were standing behind their position not to accept deposits from a legalised web shop industry.
She acknowledged that her institution, and the likes of Royal Bank of Canada (RBC) and Scotiabank, were prohibited from accepting web shop gaming deposits by the bank’s worldwide policy.
Both Commonwealth Bank and Fidelity Bank (Bahamas) having also previously said they would not accept money from a legalised web shop gaming industry, due to fears they might lose their US correspondent banking relationships. It appears only Bank of the Bahamas is left to become the sector’s ‘bank’.
Comments
kaytaz 8 years, 6 months ago
Made millionaires out of 6 people when the whole country could of benefit....Perry has no vision....national lottery I say
sheeprunner12 8 years, 6 months ago
Webshops' Quantity ($150 per wk) vs Atlantis' Quality ($300+ per wk) ............... it doesn't make any sense ........... BTW: how can the PLP justify enriching a criminal oligarchy vs creating an all inclusive national lottery???????? ........ Ans. just like the Referendum's hidden agenda
observer2 8 years, 6 months ago
Agreed and at great risk to our entire financial system through the Bank of the Bahamas. This is because the Bank of the Bahamas is the only financial entity which is accepting gambling deposits from the semi-licensed web shops.
The government doesn’t fully appreciate the systemic importance of the Bank of the Bahamas and that if something had to happen to the Bank of the Bahamas’ correspondent relationship due to web shops it would impact the entire Bahamian banking system due to the interrelationships between the institutions, the Central Bank and the governments own finances. The Bank of the Bahamas US correspondent will continue to provide correspondent banking until it suddenly stops without notice and without providing a reason. Banks are under no obligation to bank with someone they don’t want to bank with. Relationships are under continuous evaluation.
The government also does not appreciate that if the Bank of the Bahamas trades with all other local banks and other financial institutions such as insurance companies and credit unions then the proceeds of web shop gambling is indirectly transmitted through the financial system and into the economy and indirectly through their counter-parties correspondent network in New York. Watch this space for de-risking 2.0.
Are our regulators really so simplistic and naïve that they believe that unacceptable financial transactions in one financial institutions can be ring fenced just by using another bank?
Lord have mercy.
Regardless 8 years, 6 months ago
...the difference is that the casinos derive their revenue from foreigners and not the food off the table from locals.
Honestman 8 years, 6 months ago
Absolutely! These idiots have no grasp of even first grade economics.
birdiestrachan 8 years, 6 months ago
The same people who are gambling now are the same people who were gambling when gambling was illegal. It is fun for them. people have the right to spend their money any way they wish Some buy false hair, paint their nails or buy expensive bags. It is their God given choice. No one has to buy Numbers.
John 8 years, 6 months ago
The fact is that unless the economy grows as well, we shops can see an actual decline in the number of employees. There will come a time the industry reaches a saturation point where additional web shops will generate no increase in business. The new stores will only draw from existing stores and increase overhead. This will happen sooner that later if the government does nothing to stimulate this stagnant economy. Then too as the 'web shop' product matures it will draw less consumers and operators will have to spend more money promoting and rebranding their products. Those who strategically place their stores and resist the opportunity to over expand will benefit greatest. It is an illusion to think that web shops can continue to expand while the rest of the economy shrinks and is drying up
banker 8 years, 6 months ago
The webshops are living on borrowed time. All of the small banks are quickly losing correspondent banking privileges, and the Bank of The Bahamas is high on the list of being de-risked due to accepting web shop money. When that happens, it will be nothing more than a crippled entity dealing only in Bahamian dollars with no external US dollar money transfers, credit card payments or any other currency transactions requiring hard currencies such as the American dollar, the British pound, the Canadian dollar and the Euro.
Why do you think our friend Ryan bolted from Deltec? He can see the writing on the wall.
What good will a dumptruck full of Bahamian dollars be to the webshop owners who cannot even buy US dollars for new machines when their only bank loses its ability to transact American dollars?
With KYC/AML being required for sources of money, those individuals will have their ability to transact in American dollars severely curtailed at the major banks as well. This is going to be interesting.
The next step, will not only be the banks, but the money transfer houses. Fidelity already had its 26 money transfer locations shuttered when Western Union de-risked them and ended the correspondent relationship. There will be more to come.
The real embarrassing optics will be when the ex-Governor of the Central Bank, chairman of a brewery AND the chairman of a webshop, will be considered an AML risk because of the position that he holds at a webshop. Hilarious.
birdiestrachan 8 years, 6 months ago
here we go again the prophets of gloom and doom. the chicken- licken syndrome is alive and wellStrong
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