By RASHAD ROLLE
Tribune Staff Reporter
rrolle@tribunemedia.net
EXUMA & Ragged Island MP Chester Cooper called out the Free National Movement yesterday for “marching recklessly against the establishment of Bahamas Resolve” in 2015 only to now embrace the special purpose vehicle as part of a plan to turn around the troubled Bank of the Bahamas.
His comments came after Wayne Aranha, chairman of the bank, said $166m in bad loans at the bank will be transferred to the SPV, removing the loans from BOB’s balance sheet.
The move, former Resolve Chairman James Smith has said, will likely put Bahamians on the hook for much of the interest and principal payments related to this, not least because the SPV has so far struggled in its mandate to go after the loans.
Expressing support of the Minnis administration’s decision to transfer bad loans to Resolve, Mr Cooper said in a statement released to the press: “BOB has been in deep trouble because of what has happened over several administrations. There is no getting around it.
“The government and ultimately the taxpayers will still be on the hook for servicing the $166 million to be transferred and the $100 million transferred under the previous administration through letters of comfort and promissory notes.
“Financial services is a confidence business. In that regard, the PLP plans to work with the Bahamas Financial Services Board and the Ministry of Financial Services to continue to strengthen and advance the Bahamas as one of the world’s top-tier financial services centres.
“However, let me be crystal clear: The continued bailout of the Bank of The Bahamas by the government on the backs of the taxpayer is untenable in the long-term. Now that there is bi-partisan support for the notion that BOB is sufficiently important to the national well-being that strong support from the government is warranted; confidence in the bank itself will hopefully be restored such that no further intervention is required. An additional step to bolster confidence is for the government to be resolute that the board and its professional management team will autonomously run the bank. I also look forward to the promised debate in Parliament over this latest proposed transfer, as articulated by the deputy prime minister, to better understand the current position of the bank, whose failure must be prevented at all reasonable costs. We also look forward to the articulation by BOB’s professional management of the bank’s turnaround strategy and path to profitability, including assessing its footprint and product offerings, innovative partnering, cost rationalisation, delivery systems to enhance customer service, improving its relationship with regulators and enhancing management if/where necessary.”
Comments
BahamasForBahamians 7 years, 4 months ago
This guy is on to something..
Hubert Minnis' gang just publicly endorsed an initiative they marched against.
What hypocrisy.
http://www.thenassauguardian.com/news/5…
realfreethinker 7 years, 4 months ago
They marched because there was no debate on the action.
BahamasForBahamians 7 years, 4 months ago
Ironically, the reputable article posted above says nothing to validate your claim. Both Tribune and Guardian reports that protests were held as a result of the PLP administration's attempt to bail out the bank. The exact same solution the FNM is applying right now.
I'm only interested in whats reported, not your opinion.
The first and only reason Minnis appeared to march was because of the Government's bail out of the Bank.... something he is doing right now..
CatIslandBoy 7 years, 4 months ago
I see nothing hypocritical in the new government using a vehicle that has already been established in law by a previous government. Succeeding governments do this all of the time. There is a big difference between campaigning and governing.
Well_mudda_take_sic 7 years, 4 months ago
The problem is not about an existing vehicle - it's about a hypocritical post-election change in policy on what was a very major matter for most FNM supporters when they went to the polls. We would like to think our PM is not a charlatan. Keeping BoB and Bahamas Resolve on taxpayer life support only postpones the inevitable while resulting in more operating losses to be borne by taxpayers. We've had enough, we know enough, and we now want Minnis to make good on a key promise he repeatedly made to us (his supporters) while on the campaign trail. It's that simple.
Maynergy 7 years, 4 months ago
http://www.pagepublishing.com/books/?bo…
http://tribune242.com/users/photos/2017…
licks2 7 years, 4 months ago
The PLP must really learn to put their minds in gear before they press gas with they mouths. . .they are now bordering on sheer stupidity for sure!!
TalRussell 7 years, 4 months ago
Comrades! Exuma & Ragged Island PLP MP Chester -should be calling out to ask the Red Shirts regime - why they as a government are not able to Resolve that our Floridian neighbours were this Monday day- pumping gasoline into their vehicles fuel tanks for a mere $2.25 per gallon? Why can't we have a bulk gas pipeline running from Florida to the Bahamaland?
Well_mudda_take_sic 7 years, 4 months ago
Mr. Cooper is only doing what any astute politician would do when the opposing side makes such a huge political blunder; a blunder that could easily spell the end of the political careers of both KP and Minnis. All of us remember only too well the many occasions during the recent election campaign that Minnis, time and time again, said he would (if elected PM) close the doors of both BoB and Bahamas Resolve in order to put an end to the great expense taxpayers would incur in funding their future operating losses indefinitely into the future. While campaigning Minnis made it quite clear over and over again that based on all of the information available in the public domain about BoB and its failed Bahamas Resolve bail out plan, both of these entities were in need of nothing more than a doctor's death certificate (an application for a court order that their affairs be wound up), a funeral service (a winding up process by one or more official liquidators under the supervision of the court) and a burial (eventual striking off by the Registrar of Companies). In the circumstances, it is unconscionable that Dr. Minnis would go back on his word and even entertain the idea of keeping both BoB and Bahamas Resolve on life support, knowing full well these entities have no hope whatsoever of recovery and therefore should not be allowed to continue receiving outrageously costly transfusions using taxpayers' dollars. We, the people, have every right to expect that Minnis and KP will re-evaluate their initial 'hasty' and ill-advised decision and do the right thing by us, rather than commit a colossal betrayal of FNM supporters that would result in certain political suicide.
BahamasForBahamians 7 years, 4 months ago
I do not expect any of the FNM mouthpiece commenters to respond objectively to any thing posted here that may harm Hubert or Peter's image.
(Apart from D'Aguilar and Dames,all other MPs have effectively been made sheep with very little or none if any contributions to the governance of this country since the election.)
Calling a spade a spade though, this is hypocrisy to the highest order and its baffling that Minnis would make such a novice political move less than 1 year into his tenure as PM.
He literally just took placards down Bay Street protesting the VERY same PLP-initiative they are now praising and showing confidence in today..
It makes an average non-partisan viewer feel like most of what he says was just talk to win an election.
TalRussell 7 years, 4 months ago
Comrades! It is exactly because of Minnis's and KP's blatant hypocrisy on the Bank of Bahamaland - why so many citizens are just fed up with how easily these two men's does ignore what they promised voters during the 2017 General Election. Why in the hell vote if your damn vote never counts? They talk about $166 millions likes it's but pennies...but they shed fake crocodile tears about how the Public Treasury was left too damn broke to even help the poor and near poor people, by removing VAT from everyday 'breadbasket items?' This is sinful that they too also care more about the "politically connected" than they do about the empty stomachs of the poor and near poor....including the many thousands who deserted the PLP for the Red Shirts. This is treasonable!
Maynergy 7 years, 4 months ago
Bahamian stories: The struggle is everywhere. As a product of the enlightened mail boat era 1959-1975, he traveled the so-called “Hell’s gate” passage on the Frezel and the many other mail boats owned by the Taylors of Pirates Well Mayaguana, Bahamas on his way to New Providence; doing exactly what many patriots before had encountered while breaking the mold of the traditional role a teacher played in 1974 New Providence Bahamas, Behind Grey Curtains is smoothly paced, intelligent and intricately plastered with remarkable and conclusive ideas and details of how a young country could embrace all its citizens moving forward with uniquely progressive and predictably stunning ways the nation could shine forth with balanced economic and social growth for all the people. http://www.pagepublishing.com/books/?bo…
http://tribune242.com/users/photos/2017…
http://tribune242.com/users/photos/2017…
Greentea 7 years, 4 months ago
why do u have a picture of the american artist norman lewis here? does he have a connection to the bahamas?
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