I am both astonished and stunned by the political naivety of the new Minnis-led government in simply adopting the fatally flawed Bahamas Resolve Ltd. model for dealing with the continued financial hemorrhaging of BoB. It must please Christie, Halkitis, John Rolle, Wendy Craigg, James Smith and others no end to see Minnis and KP make the disastrous political mistake of adopting the failed Bahamas Resolve government "bailout" model created by the previous corrupt Christie-led government. It is beyond comprehension why our new government did not seize the opportunity to put an end to the deceitful (and likely illegal) Bahamas Resolve model of continuing BoB bailouts. This model was designed for one deceitful purpose only: To drag out the inevitable liquidation of this failed bank over an extended period of time in order to force (through continuing operating losses and resulting capital replenishment needs) significant dilution of the non-government stakeholders' interest in BoB. This latest $166 million bailout brings the total BoB bailout amount thus far incurred by taxpayers and national insurance fund contributors to a staggering sum well in excess of three hundred million dollars ($300,000,000). It is unfathomable that Minnis and KP have decided to take ownership of the fatally flawed, and possibly illegal, Bahamas Resolve bailout model created by the corrupt Christie-led government. This devious model has permitted a technically insolvent bank to keep its doors open and make continuing significant losses, all at the taxpayers' expense, while its ownership interest in BoB increases at the expense of all of the non-government stakeholders. BoB should have closed its doors a long time ago and an official liquidator should have been appointed to wind-up its affairs. Had that been done, the non-government stakeholders would have at least been protected from the crippling effects of all the ongoing losses since incurred. Minnis and KP had a golden political opportunity to get government out of the banking business by putting BoB into liquidation with the blame for all of the losses falling on poor decisions and shenanigans of the corrupt Christie-led PLP government. Instead Minnis and KP have endorsed the poor decisions of the last government by adopting the Bahamas Resolve bailout model for themselves. This means they have foolishly elected to share with the last government responsibility for BoB's continuing financial mess. A serious naive political mistake indeed!

Yes, our government will end up owning 100% of BoB, assuming National Insurance gets reimbursed by government for the $33 million is was wrongly required to invest in BoB at a time when BoB was known to be technically insolvent. It seems that only after a prolonged period of unnecessary continuing operating losses, will our new government finally realize the taxpayer bailouts of BoB are unsustainable and BoB must be properly liquidated. By that time though, mega-millions more of taxpayers' dollars will have been needlessly pissed away in the form of more bailouts to a dead bank that can never be resuscitated or resurrected, no matter what our new government may do. Minnis and KP have succumbed to poor advice on how to best deal with BoB from the standpoint of the interests of both taxpayers and the non-government stakeholders. What our new government has done by endorsing Christie's failed Bahamas Resolve model is politically daft by any measure to say the least!

$700 M matches the loan for the budget. The lending bank would end up owning BOB.

Bailout undercwhat conditions? Just millions with no adjustments?

I agree with well_mudda and reality above ^^^ that under any normal circumstances, BoB would be liquidated. But these are not normal circumstances.

1. If Government is ever to collect monies from the collateral free / illegal loans made to PLP cronies, it must keep these loans "on the books", whether it be in BoB or Resolve. Liquidating the bank / Resolve would be tantamount to admitting forever and a day that we will not, eventually, prosecute those responsible for (a) approving the loans and (b) recovering the debt, or seizing the assets of the lenders

2. The numbers men / drug dealers are the only 3rd party persons keeping BoB in fresh deposits (I do not count government employees whose salaries must be paid into their BoB accounts, as I'm sure that the vast majority would want nothing to do with BoB if they had a free choice in the matter) When the time comes to co-operate with the American authorities in tracing all illegal flows of monies which used or still use BoB, we will need to have BoB as a still active entity to help with the analysis of flows of monies, whether it be the racketeers or persons who were politically connected to previous administration(s)

Sadly, the costs to the average Bahamian for the impropriety of their fellow Bahamians, in the form of "nonperforming loans", is almost beyond comprehension.
The great potential advantages of a locally-owned government bank are enormous.
Somehow, we managed to squander it.
And, we still don't have a full list of those who borrowed and haven't paid up.
Perhaps, this list of borrowers is considered essential to national security and thus remains secret.
In the bigger picture, if a sober minded person were to look at the state of our finances here, the state of BoB, the unemployment rate, cost of living, ease of doing business report, credit agency ratings and a host of other indicators which would help give a reasonable synopsis of what the next 20 years looks like in The Bahamas, what would a fair-minded person say?
We will be so loaded with extra administrative costs, huge amounts of interest and penalties,
and so far behind in opportunity costs that one would have to have a serious discussion about the livability of The Bahamas for the remainder of time that this country is above water.
We haven't forgotten that all-important issue closing in on us, have we?
It is perhaps the most important discussion this country could ever have in its' history.
And yet, it is not even newsworthy in this country.
The Bahamas is one of the most seriously at risk countries with impending sea level rise, and it isn't even on our national radar.
Talk about some real problems ahead, while we keep our heads in the sand.
I wish BoB was our biggest problem, but it ain't.
It is only one of many problems which we continue to kick down the road for our kids to deal with.

What is the mission, role and purpose of BOB?????? ........ Has anyone heard that answered by the PLP or FNM?????? ............ Are they going to make that the official bank of the government as it seems that Royal Bank is winding down its operations???????? ........ Answer that, DPM

Maybe if the government make BOB a PPP type bank with at least 80% public shareholdings, and close the webshops, it can have a truly national presence ......... and then become the vendor for the national lottery ......... but the DPM cannot be afraid to make the hard decisions

I want to scream, What is wrong with these people?

Repeatedly bailing out BOB will sink the entire Bahamas. Watch and see. Bailing it out is throwing money down the drain.

I really hope that the Tribune Editor or GM do lobby for our commentary to be shared with the "powers that be" ....... The Tribune needs to organize a Convention of its frequent commentators ..... Watsayu?????????

LOL. Let's hope not. It would be an embarrassment. In the English Composition and Grammar department, if nothing else.

This is idiotic! Close down the institution! Sue and confiscate the property of those owing the toxic debts, No soft treatment - it has to go!

BoB can't close, at least not now. It is the only bank that will provide services in areas in the Bahamas which the Canadian banks no longer consider profitable. After effing up the bank, it's easy for you Nassuvians to say "close it down, it's essentially defunct". However, all Family Islanders are entitled to the same quality and level of services as Nassau. So, yes open a branch in a place like Bimini but it doesn't have to have a full complement of staff or necessarily offer loans right out of the gate. Either that or look at offering more electronic services that are less manpower dependent. Serious, if necessary merciless, efforts must be made to collect as much as possible on the delinquent loans.

Most of us were elated to learn that Wayne Aranha (a highly experienced official liquidator of banks) and Tony Allen (a well-seasoned senior banker) had been appointed to the board of BoB, that is, until we very recently learned that Minnis and KP have foolishly elected to continue with the failed Bahamas Resolve bailout model that was created by the corrupt Christie-led PLP government. Aranha and Allen cannot possibly believe keeping BoB's doors open to the public is a good thing, and it is beyond comprehension that these two reputable professionals have apparently not advised our new government to arrange for BoB to be liquidated at the earliest possible time. BoB is undeniably insolvent for all intents and purposes because continued taxpayer support of its affairs is an unsustainable option. BoB needs to be shutdown to (1) prevent access by the racketeering numbers' bosses to a licensed bank for what the global financial community rightfully perceives to be money-laundering purposes, and (2) get our government out of the banking business with all of its attendant moral hazards. It seems Aranha and Allen have unwittingly allowed themselves to become part of the overall BoB problem for taxpayers and the non-government stakeholders alike. Armed with all of the information about BoB's affairs that has been in the public domain for quite sometime now, these two professionals should have conditioned the acceptance of their BoB directorships on BoB being liquidated in the very near term. Even better still, given their backgrounds they should have advised Minnis and KP that all legitimate stakeholders (including the taxpayers) would be better served by their appointment as official liquidators of BoB. Another golden opportunity has indeed been lost...meanwhile the taxpayers continue to suffer!

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