Articles - Ritz Carlton deal collapses

Exactly, three (3) months ago, the Saint Lucia Labour Party (SLP) alerted Saint Lucians to the fact that the receiver for a collapsed German Bank (Kaupthing Singer and Friedlander Ltd), was trying to sell several hundred acres of prime local lands that it held as security for a US$23,000,000.00 (US$23 million) loan, in respect of the failed Ritz Carlton Hotel project in Saint Lucia.

Political Leader – Dr. Kenny D. Anthony explained at the time that Saint Lucia stood to lose all the land without a cent in compensation. This was because the UWP Government had abandoned the SLP Government’s previous plans to sell the land to the developers for cash, and decided instead to contribute the land in exchange for preference shares in the hotel. The UWP Government through its Tourism Minister, its Investment Minister and its NDC Chairman boasted at the time that it had found a better and more secure financing formula for the project.

Since the SLP’s disclosure three (3) months ago, Ministers Allen Chastanet and Rufus Bousquet have come out publicly claiming that the land is not at risk. These denials notwithstanding, the Saint Lucia Labour Party understands that the Bank’s receivers have been left with no choice but to proceed with their claim against the security of approximately 500 acres of Saint Lucian land.

The Saint Lucia Labour Party shares the deep concern of Saint Lucians about this development, and calls upon Prime Minister King and Ministers Chastanet and Bousquet, to explain what has happened to the US$23,000,000.00 borrowed by the Ritz Carlton Developers, and how it plans to save the country’s 500 acres of land (which is valued at millions of dollars), from being seized without compensation.

This is an issue of urgent national importance and Prime Minister King and his Ministers cannot explain it away with silence or empty assurances.