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Ernst said:
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HillsideView said:
What I find to be the most interesting aspect is that the price dropped to $150 million from almost double that in all previous estimates and also the minor fact that NONE of the studies commissioned by the gov't have been released to the public.


The family of the Chinese President Xi Jing alone has hundreds of millions of dollars secretly parked in the BVI (and these are only the numbers that became public last month). Maybe the Chinese government made the BVI government a good price, so they could get safely to their hoard?

Let's say the real cost is the double of what the Chinese will charge. Have a Chinese state-owned company write down 150M, so you have safe access to your own private hundreds of millions, what's not to like about that?


Sorry Ernst that is not how it works. The BVI does not have any large banks capable of dealing with funds anywhere close to that. The part the BVI plays in this shell game is the creations of empty secret shell corporations where the actual owners can never be traced. After opening a string of identity hiding corporations any funds or properties are put in the the names of those identity hiding corporations. The actual cash or assets of value never cross into the borders of the tiny BVI. The BVI makes their money by charging a fee to create and maintain each of those thousands of paper companies. Companies that never make anything or do anything other hide the identity of the true beneficiary of funds, stock, or real estate far away from the BVI.

The BVI does not offer the ability to guarantee or back any deposits in an actual BVI bank. No one with judgement would ever put any cash in an actual BVI bank.

In some simpler terms some of the physical paper work may be done in the BVI. In some cases a live person may travel to do paperwork real time to avoid the electronic trail and intermediaries. The real money travels electronically and there is certainly no place to put and keep real money on the BVI.

The BVI receives $200 million each year from the fees charged to own these hidden corporations. A simple regulatory change requiring the directors of each company be made public a change that the UK can dictate would make that $200M in cash to the BVI government go away. That shame corporate identity business is not sustainable and will go away at some point. Higher end tourism is the only viable option to replace that money the BVI government lives on today. Yes, Antigua has a brand new $100M airport built by the Chinese. Like others Antigua expects to double the number of their hotel rooms over the next 18 months. Bermuda is on the way to a new $200M outsources airport. St. Vincent will have a new airport open with 9,000 foot runway soon. The risk to the BVI here is maybe too little too late. Once the business leaves to the other markets with easier access the cost to get the business back will be very expensive. Can you make better ferry options sure. Can you compete for the best visitors using ferries where many others have direct jet access absolutely not.

High speed ferries are very expensive and major challenges to maintain. The motion aboard when the seas are up are awful. Motion that is very different than any boat. Ferry services around the world struggle and fail more than they succeed. Where they do survive the business is generally freight and cars coupled with passengers where airplanes are not part of the trip. The airport, taxi, ferry, taxi is not a 21st century winner. In Sydney and Seattle where commuter ferries work 2/3 of the cost is paid by taxpayer subsidy. Yes some visitors will take the bus from the public airport to the city center; most do not. The skip the airport and focus on the ferry argument ignores the tens of failures around the world and the visitor offerings others have recently finished and the others that will open shortly. It is time to join the team and focus the energy on getting a competitive runway in operation along with the offerings to get visitors to and from their plane seat to their final stop. Today the BVI is a business venue without a real street nor place to park.

Last edited by StormJib; 05/20/2016 08:15 AM.