Saturday Sep 22

Bankrupt Bahamas megaresort sold; phased opening in April


baha_mar15.jpg
Baha Mar

By Royston Jones Jr.
Nassau Guardian Staff Reporter

NASSAU, Bahamas -- Bahamas Prime Minister Perry Christie on Monday announced that the Chinese-financed multibillion-dollar megaresort Baha Mar has been sold to CTF BM Holdings Limited, a subsidiary of Hong Kong conglomerate Chow Tai Fook Enterprises Limited (CTFE) and said the executed sale and purchase agreement represents a “significant achievement for The Bahamas, and a milestone in the troubled history of the Baha Mar resort”.

Christie said that, while a sale and purchase agreement has been executed, there still remain “outstanding conditions and negotiations between the bank (Export-Import Bank of China – CEXIM), which financed the project) and CTF for various ancillary agreements”.

Ousted Baha Mar developer Sarkis Izmirlian filed for Chapter 11 bankruptcy protection in Delaware in June 2014, but all related cases have since been dismissed.

Speaking to the chronology of events since March 2014, Christie insisted that he and his administration have worked day and night to see the project remobilized, completed and opened and the money owed to former employees, creditors and contractors settled.

He said these objectives were embedded in the heads of agreement signed by the government, the bank, Perfect Luck Claims Limited and Perfect Luck Assets Limited in August.

The agreement has seen nearly 2,000 terminated employees paid, and hundreds of creditors’ claims settled to date.

Christie revealed that CEXIM committed $101.5 million to the payout exercise, which was provided as ex-gratia settlements to former employees and creditors.

He said that the claims committee overseeing the payout exercise, headed by former minister of state for finance James Smith, has concluded nearly 90 percent of the claims of unsecured creditors.

The government has said it hopes to conclude the payout process by the end of the year.

Christie acknowledged that the August agreement with CEXIM remains sealed by the Supreme Court, a move that caused great backlash.

Though Baha Mar receiver manager Ray Winder said in August that the parties requested the documents be sealed, Christie said on Monday that it was CEXIM that requested for the Supreme Court to seal the agreement, as is normal.

“Much has been made of the fact that the arrangements remain under seal in the Supreme Court of The Bahamas,” Christie said.

“The application to have the documents sealed was made by the Export-Import Bank of China. As I have advised in a previous communication, a request for documents of this nature to remain sealed is not unusual, particularly in [a] transaction of this complexity, scale, and most importantly, international market sensitivity.

“The Bahamian Supreme Court approved the sealing of the documents to assist in ensuring that the parties secure the best outcome for the property.

“... Maintaining all court filed documents under seal enables the bank and CTF to finalize these sensitive negotiations with the normal business confidences that one would expect.”

The prime minister also said the government and Bahamian utility companies such as Bahamas Power and Light (BPL) have received payment from CEXIM for “some of their unsecured outstanding claims”.

But Christie did not provide specifics.

According to court documents, the Bahamas Electricity Corporation was owed $19.5 million, while Cable Bahamas was owed $1.4 million.

CTF is expected to receive the concessions provided to Baha Mar as applicable, according to the prime minister.

He said the government intends to enter a heads of agreement with CTF to outline all obligations and concessions provided, all of which will be tabled in Parliament, once executed, to ensure transparency and accountability.

“I seize this opportunity to make all Bahamians aware that my government is not deaf to the gossip and speculation and downright false allegations that have been concocted surrounding the Baha Mar dispute, its history and its progress,” Christie stressed.

“Amidst such sensitive negotiations, this government thought it wise not to offer a running commentary on the discussions, and moreover, not to say anything that might put the future of the project in jeopardy.

“It’s a shame that so many uninformed views were promoted.

“The last few weeks have involved a herculean effort and everyone involved did what it took to dive across the finish line.”

He insisted that CTF and its operating companies will have to meet the normal due diligence requirements of the government, including a “rigorous investigation and licensing process of the Gaming Board with respect to its casino operations”.

Christie said the project is on schedule for a phased opening in April 2017.

He recently announced the “imminent hiring” of 1,500 employees in the new year to coincide with the mega resort’s phased opening.

Republished with permission of the Nassau Guardian

FG_AUTHORS: Administrator

AudioNow
for Travel Discounts,
Medical Tips, Politics

Profile Information

Application afterLoad: 0.001 seconds, 0.41 MB
Application afterInitialise: 0.051 seconds, 2.34 MB
Application afterRoute: 0.062 seconds, 2.96 MB
Application afterDispatch: 0.116 seconds, 5.65 MB
Application afterRender: 0.834 seconds, 6.94 MB

Memory Usage

7342808

21 queries logged

  1. DELETE
      FROM jos_session
      WHERE ( TIME < '1537605642' )
  2. SELECT *
      FROM jos_session
      WHERE session_id = 'u10v8esd5ib8ks5v3b3u37pap7'
  3. INSERT INTO `jos_session` ( `session_id`,`time`,`username`,`gid`,`guest`,`client_id` )
      VALUES ( 'u10v8esd5ib8ks5v3b3u37pap7','1537606542','','0','1','0' )
  4. SELECT *
      FROM jos_components
      WHERE parent = 0
  5. SELECT folder AS TYPE, element AS name, params
      FROM jos_plugins
      WHERE published >= 1
      AND access <= 0
      ORDER BY ordering
  6. SELECT m.*, c.`option` AS component
      FROM jos_menu AS m
      LEFT JOIN jos_components AS c
      ON m.componentid = c.id
      WHERE m.published = 1
      ORDER BY m.sublevel, m.parent, m.ordering
  7. SELECT template
      FROM jos_templates_menu
      WHERE client_id = 0
      AND (menuid = 0 OR menuid = 1)
      ORDER BY menuid DESC
      LIMIT 0, 1
  8. SELECT a.*, u.name AS author, u.usertype, cc.title AS category, s.title AS SECTION, CASE WHEN CHAR_LENGTH(a.alias) THEN CONCAT_WS(":", a.id, a.alias) ELSE a.id END AS slug, CASE WHEN CHAR_LENGTH(cc.alias) THEN CONCAT_WS(":", cc.id, cc.alias) ELSE cc.id END AS catslug, g.name AS groups, s.published AS sec_pub, cc.published AS cat_pub, s.access AS sec_access, cc.access AS cat_access  
      FROM jos_content AS a
      LEFT JOIN jos_categories AS cc
      ON cc.id = a.catid
      LEFT JOIN jos_sections AS s
      ON s.id = cc.SECTION
      AND s.scope = "content"
      LEFT JOIN jos_users AS u
      ON u.id = a.created_by
      LEFT JOIN jos_groups AS g
      ON a.access = g.id
      WHERE a.id = 7648
      AND (  ( a.created_by = 0 )    OR  ( a.state = 1
      AND ( a.publish_up = '0000-00-00 00:00:00' OR a.publish_up <= '2018-09-22 08:55:42' )
      AND ( a.publish_down = '0000-00-00 00:00:00' OR a.publish_down >= '2018-09-22 08:55:42' )   )    OR  ( a.state = -1 )  )
  9. UPDATE jos_content
      SET hits = ( hits + 1 )
      WHERE id='7648'
  10. SELECT id, title, module, POSITION, content, showtitle, control, params
      FROM jos_modules AS m
      LEFT JOIN jos_modules_menu AS mm
      ON mm.moduleid = m.id
      WHERE m.published = 1
      AND m.access <= 0
      AND m.client_id = 0
      AND ( mm.menuid = 1 OR mm.menuid = 0 )
      ORDER BY POSITION, ordering
  11. SELECT *
      FROM jos_banner
      WHERE showBanner = 1
      AND (imptotal = 0 OR impmade < imptotal)
      AND cid = 3
      AND catid = 33
      ORDER BY sticky DESC, ordering
      LIMIT 0, 1
  12. UPDATE jos_banner
      SET impmade = impmade + 1
      WHERE bid = 12
  13. SELECT *
      FROM jos_banner
      WHERE showBanner = 1
      AND (imptotal = 0 OR impmade < imptotal)
      AND cid = 2
      AND catid = 33
      ORDER BY sticky DESC, ordering
      LIMIT 0, 1
  14. SELECT *, RAND() AS ordering
      FROM jos_banner
      WHERE showBanner = 1
      AND (imptotal = 0 OR impmade < imptotal)
      AND cid = 3
      AND catid = 13
      ORDER BY sticky DESC, ordering
      LIMIT 0, 1
  15. SELECT *, RAND() AS ordering
      FROM jos_banner
      WHERE showBanner = 1
      AND (imptotal = 0 OR impmade < imptotal)
      AND cid = 1
      AND catid = 33
      ORDER BY sticky DESC, ordering
      LIMIT 0, 1
  16. UPDATE jos_banner
      SET impmade = impmade + 1
      WHERE bid = 15
  17. SELECT `id`
      FROM `jos_components`

      WHERE `option`='com_fpslideshow'

      LIMIT 1
  18. SELECT a.id, a.introtext, a.title, s.title AS stitle, cc.title AS ctitle,
     CASE WHEN CHAR_LENGTH(a.alias) THEN CONCAT_WS(":", a.id, a.alias) ELSE a.id END AS slug,
     CASE WHEN CHAR_LENGTH(cc.alias) THEN CONCAT_WS(":", cc.id, cc.alias) ELSE cc.id END AS catslug
     
      FROM jos_content AS a
     
      INNER JOIN jos_categories AS cc
      ON cc.id = a.catid
     
      INNER JOIN jos_sections AS s
      ON s.id = a.sectionid
     
      WHERE ( a.state = 1
      AND a.sectionid > 0 )
     
      AND ( a.publish_up = '0000-00-00 00:00:00' OR a.publish_up <= '2018-09-22 08:55:42' )
     
      AND ( a.publish_down = '0000-00-00 00:00:00' OR a.publish_down >= '2018-09-22 08:55:42' )
     
      AND a.access <= 0
      AND cc.access <= 0
      AND s.access <= 0
     
      AND s.published = 1
     
      AND cc.published = 1
     
      ORDER BY a.created DESC
  19. SELECT *
     
      FROM jos_fpslideshow_slides
     
      WHERE state = 1
     
      AND registers <= 0
     
      AND ( publish_up = '0000-00-00 00:00:00' OR publish_up <= '2018-09-22 08:55:42' )
     
      AND ( publish_down = '0000-00-00 00:00:00' OR publish_down >= '2018-09-22 08:55:42' )
     
      ORDER BY RAND()
  20. SELECT *, RAND() AS ordering
      FROM jos_banner
      WHERE showBanner = 1
      AND (imptotal = 0 OR impmade < imptotal)
      AND cid = 1
      AND catid = 38
      ORDER BY sticky DESC, ordering
      LIMIT 0, 1
  21. UPDATE jos_banner
      SET impmade = impmade + 1
      WHERE bid = 16

Language Files Loaded

Untranslated Strings Diagnostic

None

Untranslated Strings Designer

None