Is this meeting just one big charade?

WE AGREE with Senator Zhivargo Laing that the new PLP government should get a move on rather than wasting House members' time bashing the Ingraham government. As for Prime Minister Perry Christie, his meeting with Cable and Wireless CEO Tony Rice is, in our opinion, just so much time-wasting posturing. Mr Christie knows that he cannot negotiate back the Cable & Wireless contract for the Bahamian people. Not forgetting that, even if he could, the concerns of Bahamians are far more immediate than being able to say that their once inefficiently-run BaTelCo is once again in their name -- remember, in name only, not in their pocket where they are feeling the real pinch.

The new PLP government boasted that it would be ready from day one to catch the ball and run with it, giving itself 100 days to accomplish many things that they promised would relieve the suffering of the citizens of these islands. But here we are now into the second month of their administration and it would seem they have yet to lace up their running shoes. The take-off gun went off on May 7, yet they are still behind the starting blocks arguing about Mr Ingraham. Anything to distract from facing the many outlandish promises made during the election campaign. Some of these promises they will find impossible to keep. One of them is Mr Christie's commitment to use all lawful means to renegotiate the contract with Cable & Wireless so that BaTelCo can be led back into the Bahamas' sheepfold.

We say impossible because this country, already on the brink of being dragged over the suicide cliff by its debt, cannot afford to purchase the contract from Cable & Wireless. By the end of the 2012-2013 fiscal year, it is predicted that the Bahamas' national debt will be over $5 billion.

It is our view that Mr Christie's meeting with Mr Rice was just a charade to make Bahamians think he is doing everything within the law to turn the tables with the Bahamas government taking control of BaTelCo while Cable & Wireless slips into the position of minority partner.

After trying to sell BaTelCo to an unknown foreign company with absolutely no track record in the business, the Christie administration is now saying that the FNM has sold to foreigners to the exclusion of Bahamians. Does this suggest that although Bluewater was presented as a fully foreign owned company in which Bahamians were not welcome, in actual fact there were certain Bahamians hidden within its structure?

However, it is significant that although the PLP insisted that the FNM was intent on selling BaTelCo to foreigners it was the Ingraham government that had specifically invited Bahamians to bid. In the end, it was decided that the experience, international connections and technical knowledge that Cable & Wireless brought to the table was the best offer the Bahamas could hope for. And so Cable & Wireless won the contract.

The real issue between the two administrations was that the PLP wanted government to hold 51 per cent of the shares, while the foreign partner was left with 49 per cent.

The only terms on which any partner would buy into the already crippled corporation -- that is if it were to succeed -- was to hold the majority shares so that the company could be managed without political interference. For this, Cable & Wireless received no concessions. It had to pay all government taxes. On the other side, the Christie government offered many concessions to Bluewater.

On the campaign trail, Mr Christie and his colleagues promised they would take back BaTelCo for the Bahamian people.

Over the weekend of June 16, we had heard that Tony Rice, CEO of Cable & Wireless Communications, was flying from London for confidential talks on Monday, June 18, with Mr Christie. We dismissed it -- as far as we were concerned the musical chairs had started and it would be a full news day for our reporters.

However, when we received information that there had been a complete telecommunications breakdown - reacting to what had been The Tribune's past experience with BaTelCo when, against all odds, it was trying to launch the Bahamas' first private radio station-- we scoffed: "Sabotage again! What a beautiful excuse for Mr Christie to justify reclaiming BaTelCo!"

We knew nothing, had heard nothing, but with our past experience with some of the staff of this inefficient company, our immediate gut feeling was that something was just not kosher.

We must pause here to say that this statement does not refer to all BaTelCo's Bahamian staff. Many of these Bahamians are first class people, and they -- not the foreigners -- are the ones now managing the company. But in the best of operations, there are bad apples. It is these bad apples that always spoil the brew. And so this reference is exclusively to them.

We later learned that BaTelCo itself suspected sabotage, and its investigation has been hampered by the mysterious disappearance of its surveillance footage.

Mr Christie - although we must emphasise that there is no suggestion that he had any prior knowledge of these events - commented that what had happened "reminded us of all the things we said and why we ought not to have agreed with Cable & Wireless".

In the contract with Cable & Wireless, there are provisions that preclude the company selling to any company or group that does not have market capitalisation of at least $750,000,000. The PLP itself has admitted that this figure "puts it out of the reach of any Bahamian company".

So we advise Mr Christie to admit the impossible, and get on with the even greater problems of solving the mortgage issues between Bahamians and their banks -- both sides are suffering.

Comments

effectsandcause says...

It will NOT cost $750 million to re-negotiate an additional 2 shares to gain 51% of BTC on behalf of the Bahamian people. This government, however, is being conservative; I believe they should reclaim even more shares. If CWC is not in the negotiating mood then the government should exercise its rights within the legal system, because the method by which BTC was sold, someone (or people) should be in jail. The fact that Ingraham allowed this $750 million market share clause to be entered into the contract, knowing full well it would exclude any Bahamian company from re-purchasing BTC, is further evidence of Ingraham’s contempt for the people of this country. Don’t watch what they say – watch what they do!

Posted 25 June 2012, 9:51 p.m. Suggest removal

Concerned says...

And what are the benefits of the government owning majority shares in BTC? Please list them below:..........

Posted 26 June 2012, 2:19 a.m. Suggest removal

effectsandcause says...

Really?!?!? What were the benefits in selling-off the Country’s Communications Infrastructure to a Foreign entity??? He who has eyes - let him see!

Posted 26 June 2012, 8:13 a.m. Suggest removal

242 says...

When the field opens up for competition, at that time any Bahamian can start up his/her own telecommunications company to compete w/ CWC. The possibility of a private Bahamian company not government owned. Effectsandcause you can even be the one to get a company going.

Posted 26 June 2012, 11:45 a.m. Suggest removal

Concerned says...

The government gave its reasons for desiring to sell BTC. Even the former PLP government wanted to sell it to their inside company "Blue Water". You are the one complaining about it being sold so I am asking you. Just say that you have no clue why you're blowing hot air out your mouth. Don't rely on eyes and ears, always better to use your brain for yourself.
So my friend, just relax and let the people with the intellectual capacity handle the tough decisions.

Posted 27 June 2012, 7:02 p.m. Suggest removal

effectsandcause says...

So, no thought-provoking response. Its clear, you’ve resigned to keep your eyes glued shut, much like your avatar depicts. Oh, and don’t discount eyes and ears, because before your brain can process info. it must first pass thru those sensory points; Or are you a different type of species??? Food for thought!

Posted 27 June 2012, 9:55 p.m. Suggest removal

Concerned says...

Please stop deflecting things back to me. Please list the benefits of the government buying back BTC. It was a simple question I asked. Either list them or admit that there are no real legitimate reasons for personally owning BTC.

Posted 28 June 2012, 1:06 a.m. Suggest removal

concernedcitizen says...

THE MAJORITY OF PEOPLE WANT COMPITION AND LOWER RATES ,,GOV CORPORATION CAN NO LONGER AFFORD TO KEEP UP WITH OUR BIRTH RATE ..WE OUR PRODUCING BABIES FASTER THAN THE GR,,OWTH OF OUR GDP ,,WE HAVE BEEN ABSORBING IT WITH GOVERMENT JOBS AND HIGHER DEBT ,,,AND MORE TAXES ,,,

Posted 25 June 2012, 11:05 p.m. Suggest removal

PKMShack says...

@Concerned I am with you, there is no benefit to Government having anything to do with CWC. BEC and Bahamasair should be sold next.

Posted 26 June 2012, 6:32 a.m. Suggest removal

concernedcitizen says...

THE ONLY THING W/ BAHAMASAIR THE GOV MAY HAVE TO PAY SOMEONE A SUBSITY TO FLY TO THE FAR OFF ISLANDS W/ OUT MUCH POPULATION ,,RAGGED ,AKLINS ETC ,,IT WOULD STILL BE MUCH CHEAPER THAN AN AIRLINE ,,I THINK B/AIR IS ANOTHER ONE W/ ABOUT 800 EMPLOYEES FOR 8 PLANES ,,THE INDUSTRY AVERAGE IS 23 TO 25 PEOPLE PER PLANE ..ANOTHER GOV CORP ABSORBING OUR IRRESPONSABLE BIRTH RATE ON THE TAXPAYERS BACK ..WE ARE AT THE TIPPING POINT WITH THIS ,CIVIL SERVICE TAKES UP 2/3 OF OUR BUDGET ,,,NO WONDER WE HAVE TO BORROW TO DO ANYTHING ,,UNTIL WE STOP READING BOUT SINGLE MOTHER OF 6 ,,OUR PROBLEMS WILL CONTINUE TO MOUNT

Posted 26 June 2012, 11:16 a.m. Suggest removal

TalRussell says...

I see The Tribune is back again tap dancing their red shirtsism over journalism. Wasn't it this same Shirley Street newspaper, along with the twice rejected at the polls Comrade Zhivargo, whom any rational court would find guilty of aiding and abetting the "original" Hubert A's; five long years obsession of dredging up all the real, imaginary and falsified dealings of Pindling's PLP , to throw at PM Christie?

http://tribune242.com/users/photos/2012…

Posted 27 June 2012, 9:18 a.m. Suggest removal

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