Harlequin House Of Cards Tumbling

"A businessman accused of taking £300 million of British investors’ money – and failing  to build thousands of luxury properties – could be forced to stop trading this week.

Former bankrupt David Ames is alleged to have collected millions of pounds for ambitious building projects in the Caribbean and Brazil, but less than 300 properties have so far been built.

Legal papers will be lodged at the High Court in Birmingham on Tuesday to freeze the assets of Harlequin Property and its directors in an attempt to claw back money for worried investors.

It is understood that Her Majesty’s Revenue & Customs’ pensions regulator is also poised to act if a judge’s ruling is made on Friday.

A Mail on Sunday investigation has discovered that Harlequin Property – which has paid tennis star Pat Cash to feature in its promotional material – last month failed to make interest payments to investors who took out loans for deposits.

Now hundreds of financial advisers, who convinced investors to cash in their pensions, have been given just two days by the Financial Services Authority (FSA) to confirm if any of their clients have SIPP investments in the Essex-based firm, and a further three days to provide all details.

SIPPs are a personal pension plan allowing individuals to cash in their pension to invest in schemes such as property abroad." 

 

More...

Read more: http://www.dailymail.co.uk/news/article-2287140/Tycoon-accused-taking-300m-British-investors-faces-freeze-assets-failing-build-luxury-homes.html#ixzz2MWIYuqTv

A Swell Time

Open publication

See surfing article on Barbados - p.124-132.

Remembering Japan

TBeck breaking yesterday

As we pause to mark the first anniversary of the devastating earthquake and tsunami which struck the north-eastern coast of Japan, leaving 20,000 dead or missing, here is a prayer that our waves will always be the kind on which our kids love to play.

REDjet On Life Support

"Regional low-fares airline REDjet has cancelled more than 50 flights amid reports of financial troubles.

But the airline says it is on budget and on track to deliver new routes and services.

REDjet chairman and chief executive Ian Burns, who is currently in Trinidad and Tobago for the opening of two new offices, spoke to the Express yesterday via telephone, saying the current flights in operation put REDjet on budget. "Many of our routes, even though they've only been operational for a short time, are making positive contributions and we've launched service to Antigua, St Lucia and Jamaica," said Burns.

Concern about the company's financial stability arose when an internal memo from the carrier's customer service manager, Roy Norville, was leaked to regional media, stating that 56 flights would be cancelled "for commercial reasons".

The affected flights included stops to Trinidad, Guyana, Jamaica and Barbados.
But Burns said the reasons for the cancellations were to accommodate three new routes, to be launched later this year, and also to improve flight times for consumers.
"Flights are being cancelled but most are being put to a new flight time. Our market research shows that it was inconvenient for people to make it to the airport during high traffic times, especially in Trinidad and Jamaica," Burns said.

He added that the changes will take place from March 1 and will have increased capacity, better flight times and frequency.
Concerns were raised last November about the airline needing a cash injection of Bds$8 million.

Ralph 'Bizzy' Williams, the company's largest Barbados investor, had accused the Barbados government of sabotaging the airline's progress through excessive delays and Bds$8 million which was invested for operating expenses in the initial months of the business had to be used elsewhere.
"Our shareholder was very clear that the (Barbados) government did not keep their commitment to regularising the airline, so why should any REDjet investors invest in the country when the country wasn't holding its end of the bargain. We are satisfied that they will and we continue to roll out our services, but it is imperative that the investment climate that was promised by the government of Barbados is delivered so we can keep investments on course," said Burns."

Source: Trinidad Express

Where in the world is Matt Lauer?

Visit msnbc.com for breaking news, world news, and news about the economy

Barbados Road Safety Awareness Badge

Click here to get your badge for Facebook or Twitter.

.

Merricks Finally Matriculates

"Harlequin Hotels & Resorts and Harlequin Developments have commenced construction of the initial phase of The Merricks Resort — the $900 million luxury resort in St. Philip that will cover 70.4 acres. Speaking during his visit to the island this week, Chairman Mr. Dave Ames said: “We are very excited to have started work on this initial phase of The Merricks Resort Show Village, the $10 million precursor to our multi-million dollar resort investment in St. Philip. “This first stage of the project will provide a great boost to the country’s economy, creating work and employment for many local businesses and hundreds of people in St. Philip and Barbados.” Construction of The Merricks Resort Show Village was originally planned for completion at the beginning of January 2012, but has now been pushed back because the developers are still awaiting approval from the Government for investment concessions. Harlequin also recently acquired the former Allamanda Hotel on the South Coast. That property will be re-opened in 2012 as the “H Barbados”, the first in Harlequin’s newly created luxury boutique hotel collection. The company has moved quickly and has already completed the initial strip out of the existing building. The construction and refurbishment is now ready to commence on what will transform the former 47-room hotel into a 77-room property. Earlier reports had indicated this was a smaller project but with the benefit of existing planning permission, the Harlequin group is committed to increasing their investment in this project to an estimated $36 million, almost doubling the size of the original property. Speaking from Harlequin’s office at Hythe House in Maxwell, Christ Church, Garrett Ronan, Vice President of Hotel and Resort Development, stated: “Since receiving final planning permission in May for The Merricks Resort Show Village we have progressed things very quickly. “However, we are currently waiting for approval of concessions for both The Merricks Resort Show Village and separately under the TDA for our new boutique hotel, H Barbados. “The Government has worked very closely with us for the past few months and had promised to ensure an efficient approval process. We have provided all requested information to date but, unfortunately, the planned completion dates for both projects have already started to slip due to continued delays with the approvals.” He added: “This is proving to be very disappointing for our investors and the many local contractors and businesses that are now in a holding pattern awaiting these official approvals. Following a meeting last week with senior Government officials we are hopeful that approvals can be granted this week. This will allow us to continue quickly with construction at both locations.” The Merricks Resort Show Village will comprise a landscaped formal entrance leading to a two bedroom and a four bedroom Harlequin signature villa, spectacular cliff top boardwalk with public access designed by Kevin Talma of Talma Mills Studio, a showcase gazebo, a lagoon pool and a services building with car parking. All villas are designed with an expansive outdoor deck providing amazing panoramic views of the Atlantic Ocean and will feature a private plunge pool and spacious en suite bedrooms centred on an 800 square foot open plan “Caribbean style” living room. Development Director for Harlequin Developments, David Campion, described the villa designs as “a contemporary interpretation of local Barbados architectural style that takes an environmentally responsible approach in delivering an upscale luxury experience”. “To achieve this we are using the latest in environmental and construction technology with a strong focus on energy and water conservation,” he added."

Source: http://m.barbadostoday.bb/bbt/db_258712/contentdetail.htm?contentguid=65gpm1E8&storycount=49&detailindex=0&pn=1&ps=10&full=true#display

REDjet rising - Globe-trotting - The Boston Globe

 "First it was $9.99 for a one-way ticket from Barbados to Guyana; then Barbados to Trinidad. Now the Caribbean's first low-cost carrier REDJet is reportedly breaking open a Latin American route that will take St. Lucians or Bajans cheaply and directly to Panama CIty to go shopping.


What might that mean for America? For one, with Panama City's fabled bargains a cheap flight away, Caribbean residents would no longer look to Miami for those weekend shopping sprees. For another, the Caribbean and lower Americas could become viable for the kind of multiple destination jaunts that former inter-island air passes promised but didn't deliver. (For example, a Caribbean Airlines flight from Barbados to Kingston, Jamaica can cost as much as $420.)


The REDjet promise is that "Your final payment amount depends entirely on you." Plan ahead, choose off-peak days, and book at their airport ticket desk, and the airline guarantees a one-way flight will cost $9.99 plus taxes.


Will Caribbean islanders finally be freed from over-pricing? Stay tuned.


Now, if only I could get to Barbados this Christmas for under $650 ..."

Source: REDjet rising - Globe-trotting - The Boston Globe

.

REDjet to capture Crop Over market

"Last minute T&T travellers can now catch the last week of Barbados Crop Over Festival, as REDjet the Barbados-based, low cost carrier’s inaugural flight out of T&T is set for July 28. The popular Barbados festival, which began on May 14, will culminate with Barbadian R&B star Rihanna’s LOUD concert on August 5. REDjet will be offering passengers 3,700 seats at $65 one way fares, exclusive of government taxes and optional charges. This was officially announced yesterday by the management team of REDjet at the Carlton Savannah Hotel, St Ann’s. After several months of delay over its certification approval, REDjet was finally given the green light to operate out of T&T on July 17 by the new Transport Minister Devant Maharaj. REDjet had planned to start flying from T&T and Jamaica since May 8..."

Read more: REDjet to capture Crop Over market | The Trinidad Guardian

.

UK Air Passenger Duty Hits Travel From North America and to Caribbean

"Cheapflights Media Ltd, the international media network providing consumers with different ways to find low cost travel since 1996, has been a consistent critic of the UK's regressive Air Passenger Duty (APD) -- now the highest such aviation travel tax in the world.

Cheapflights has just analysed traffic search patterns for the first six months (H1) of 2009, 2010 and 2011 for searches for Barbados, Jamaica and Mexico and other long-haul destinations. It also analysed its North American traffic searching for London flights for the same periods to indicate how APD may have affected inbound tourism. The figures have to be viewed in the context of the post-recession recovery in global passenger numbers over the period, especially in 2010 when a post-recession "bounce" occurred and passenger traffic increased by an above trend of 8.2% (IATA).

H1	2010 over 2009	2011 over 2009
Australia	15.3%*	-4.7%
Barbados	-47.1%	-51.3%
India	5.1%*	-1.5%
Jamaica	-26.8%	-25.0%
Mauritius	-12.9%	-0.4%
Mexico	-21.9%	-17.5%
New Zealand	7.5%*	-2.0%
Inbound Searches for the UK
CFUSA to UK	4.9%	-9.4%
CFCA to UK	4.6%	-34.3%
* Host nations to major sporting events in H1 2010

The Government has just completed a consultation period in response to representations by Caribbean governments, the Caribbean Tourist Organisation and also by UK aviation and travel companies about the negative effects the high level of taxation is having.

Introduced in 1994 and raised in 2007 it remained at a sustainable level until November 2009; APD was then changed to a much higher four mileage-band based tax for economy seats and an even higher four-band tax for premium seat passengers including premium economy. It was raised even higher in November 2010, costing a family of four travelling economy to the Caribbean APD of £300.

Following the 2010 increase, APD had risen a massive 275% above pre-2007 rates for all cabin classes to the Caribbean. Apart from affecting tourism-dependent economies, such as the Caribbean in general, the mileage bands also created unfair anomalies; for example APD is more expensive when flying to Jamaica than to Hawaii.

John Barrington-Carver, Head of Cheapflights Corporate Communications, commented: "Clearly, with a respective 51.3% and 25% drop in traffic since the higher rate four band APD was brought in, Barbados and Jamaica have good reason to expect the UK Government to remove the current anomalies in APD.

"A significant concern for the UK economy is the evident drop in searches for the UK from North America and elsewhere over the period. With the strong Australian and Canadian dollars one could have expected an increase in searches for the UK. Instead we have a 5% drop from Australia and a very significant 34% drop seen in Canadian searches for London.

"Domestically, the UK's airport operators are claiming that, according to Civil Aviation Authority statistics, passenger numbers at Britain's smaller airports have fallen by up to 70% in the past four years.

"Cheapflights' analysis appears to bear out the reasons why five other European Governments have dropped APD as revenue raising exercises. Having tried the duty they discovered that such taxes cost the economy more than they raised in revenue.

"High jet fuel prices have clearly increased fares but have not prevented the 2010 post-recession global bounce in air passengers.

"It's therefore difficult to avoid the conclusion that APD is deterring UK consumers from seeking fares to the Caribbean and other long haul destinations. Importantly for the UK economy the opposite is also evident, especially from North America.""

Source: http://www.marketwire.com/press-release/uk-air-passenger-duty-hits-travel-from-north-america-and-to-caribbean-1534881.htm