by S Brian Samuel
Imagine: one day you’re a much-lauded hotel developer in Grenada, the Prime Minister’s good friend, the darling of the CBI Programme, appointed Ambassador-at-Large and Consul General in Miami.
Then, with the project almost finished, overnight, you’re made Public Enemy Number One, castigated in the most vulgar terms, by your former best buddy the PM – how did this happen? More to the point: who does this? Start a bunfight and halt a project, when it’s 80% complete? Grenada did.
Warren Newfield, a South African national based in the USA, registered True Blue Development as an approved CBI project in Grenada in 2017, with construction starting in 2019. Everything was going splendidly: Kimpton Hotels signed on early to manage and market the property, units sold fast, and the construction site was a hive of activity, employing up to 300 people at times. The love affair between honest developer and eager Prime Minister blossomed, leading to an avalanche of gratefully bestowed diplomatic appointments. “I must commend the project developers for creating this idea and executing it,” PM Mitchell, October 2020.
Then, with the hotel 80% complete, advance bookings growing nicely, out of the blue: a falling-out. Not just a falling-out, a huge, mud-slinging fight, between the two men, which quickly ended up at the world’s final court: International Centre for Settlement of Investment Disputes (ICSID). Note: Grenada doesn’t have a good batting average at ICSID, the last time we went there, over Grenlec, we lost, costing the country over US$63 million, to buy back an asset we didn’t need. The PM didn’t just take his dispute with Newfield to ICSID, he also took it to the court of popular opinion, of the lowest sort. Against his former friend, Mitchell brought out the race card, in parliament: “Imagine a white man coming and tell us we must change the government of Grenada? Could you believe this character? If I were in the street, I would say another word.[1]” So, how come it took you so long, to realise your former friend was a racist?
What could be so important, so egregious a failure on the part of the developer, to warrant a total shutdown of the project, within touching distance of the finish line, causing such huge negative impacts? As usual with these secretive CBI deals, no one knows the true story, only what we are drip-fed. Government accused Newfield of not spending all the CBI proceeds on the hotel, and demanded a 20% escrow account. Newfield replied that the Government was welcome to audit his books, and that the government couldn’t impose retroactive regulations, a deal is a deal. That’s the official story anyway, but obviously, not the whole story. The real story.
The result? Meltdown, all construction halted, abandoned buildings begging to be finished, forlorn, rapidly rusting in the sea breeze. A blight, an unfinished insult that currently dominates the southern end of Grenada’s premier tourist asset, Grand Anse Beach. An eyesore, which will soon begin to resemble the abandoned ruins of Chernobyl, as nature swiftly reclaims her own.
Which intelligent, rational person, as the PM surely is, makes such an irrational decision? You mean that both parties couldn’t come to an amicable settlement, for the good of their common goal? So, we can only conclude that there must be some other reason, behind the PM’s actions. And what that reason is: only God, the PM and a select few others know.
Grenada abounds with birdies, and this little birdie whispered into my left ear: that the reason behind the Government’s displeasure with Newfield, may be related to a certain Charles Liu, holder of a Grenadian diplomatic passport, 5 years after being indicted on a multi-million fraud case by the US Securities and Exchange Commission (SEC). But what do I know? Like all the rest of us Grenadian citizens: not one damn thing.
[1] https://www.facebook.com/caribupdate/photos/grenada-pm-induces-race-in-spat-with-former-ambassadorst-georges-grenada-may-21-/10159347209802920/
Mr. Samuel, can you explain why you think Grenada didn’t need to have GRENLEC back in the hands of the people, and do you believe that the utility companies should be owned by the people or by foreign investor’s
Good questions. First off: what was wrong with Grenlec? Since 1994 when WRB bought it, operating efficiency improved, system losses lowered, our electricity tariffs are high, but given our tiny market, that’s not unusual, and comparable with the rest of the Caribbean. For example, in 2019 our retail tariff was US$0.35/kWh, just 2 cents higher than Jamaica, yet Jamaica has a market 25 times bigger than ours. Grenlec installed their own 1.2MW solar plant, the fact that Grenada as a whole has been slow in adopting Renewable Energy cannot be laid at Grenlec’s door, alone. Blackouts were a thing of the past (although I see they’re back). So, what was the problem, that needed Grenada to spend US$63 M to fix? ESPECIALLY, in the depths of Covid, when everyone, individuals, companies or governments, were strapped for cash – where did that come from? We still don’t know the ‘real’ source.
Should ‘the people’ own all or a large part of a utility? Absolutely. Should the government own it? Absolutely not. A minority. A balanced shareholder base including private investor/operator, individuals, pension funds, government, and other local institutional investors. The case is clear: governments make terrible business owners, so let’s not go back there.
PS: what was the first thing Grenlec did, after nationalization? Buy a 10.9 MW dirty diesel generator!
It is appalling and indefensible and a different path forward is needed but isn’t the opposition leader the same Dickon Mitchell who has acted for many of the Developers? Isn’t he a Corporate Law Specialist who has marketed his Services for the international companies? Hasn’t he admitted that he has a separate Company that only does CBI in Grenada? Are we jumping from the frying pan into the fire? Has Dickon Mitchell offered any real assurances of a different path forward? Will he really challenge the Planning Approval systems in Grenada to compel them to follow their own rules or will he continue to facilitate for the International Companies who are his Clients in his private businesses? Grenada needs real change so what can we do?.
It seems those vying for power conveniently select what fight they represents. IMO Grenada lacks good governance and anyone vying to be PM must be able address this both professionally and personally.
While Dickon is free to ply his trade, I believe he has a moral obligation to advocate to fix loopholes not exploit them.
Representing rich clients who makes it very hard for local Grenadians to own lands should be a cause for concern.
Grenadians cannot compete with rich folks to buy lands. In fact, lending institutions does not have policies to make land ownership easy for Grenadians. For one to own lands in Grenada they will have to sell their family.
No leader should promote the sale of our passports, especially, when it creates social injustice.
Dickon should use his legal mind to advocate and protect integrity of our passports and national institutions.
I don’t see him closing any loopholes when in fact he earns a living from those loopholes.
There are too much social injustice in Grenada.
NDC was in power with more than half the minister being lawyers. Not one of them used their legal mind to reign the curropt environment.
NNP has being the most corrupt government in Grenada’s history.
For this and other reasons I believe that there must be a third and fourth alternative to Grenada’s politics.
This two main parties system does not work in the best interest of Grenadians.
Remember just before the last election when the Grenada PM says ‘oil discovered offshore’? Then he gave the extraction contract to a company with 9 employees, a tiny turnover and with no experience in the field and with directors no one can find anything about. Is anyone out there who isn’t at least sceptical by now
This eyesore isn’t going away, unfortunately. Even when it settled and up for sale, CBI developers prefer pristine areas, where there are mangroves to cut, lakes to drain, animals to kill. It’s no fun once someone else already done it! Hence Mt. Hartman, Levera, La Sagesse, Coral Cove, Camerhogne Park, Silver Sands…. Mark me, if Keith win again, there will be signs up in other pristine places — Beausejour, Lake Antoine, Grand Etang, Tufton Hall. Everything for sale under this government.
The growing masses that have been created over the past almost 30 years have been groomed not to understand the negative impact of such blatant disregard for their country, its resources and people. Keith speaks their language and behave like them when it suits him – he certainly did a great job under educating Grenadians
Exactly!!. They say a government is a reflection of society. It means for this outrageous and blatant maladministration to continue, the people of Grenada must have an appetite for it.
Grenadians have several questionable and corrupt activities to justify not voting in this type of government, however, continue to do so.
Mt. Hartman, Levera, call center, First International Bank offshore fiasco, accepting monies in a brief case out of protocol. These are just a few of many.
There are folks who defend this type of government without thinking of the consequences.
There is a book on the offshore fiasco. One Big Fib: The Incredible Story of the Fraudulent First International Bank of Grenada https://a.co/d/aGeA7zi
The court records are available to the public.
What does good governance means to Grenadians?
When Grenadians received monies inside political party campaign t shirts during the 99 elections there were no independent bodies to investigate where the came from. In fact, there are no laws that compel political parties to provide source of donations? Is there limit that individuals and corporations can make?
Are there are any independent bodies that can carry out criminal investigations and can do so without political interference?
Again, in order for blatant corrupt to manifest in Grenada, Grenadians have to have the appetite for it.
Blame and responsibility rest on Grenadians to clean up the corrupt environment that exist. The eat ah food mentality at any cost has taken over.
Good recommendations as tonaource of funding…because if the ole talk is true you might be on for a shock as to who funding the n.d.c…. cuz they say it’s the man who was doing this very same project and fell out with the nnp because he wanted more than was agreed to…and that will be his kickback if he gets n.d.c in
Exactly!
The masses have been educated to beg and it’s all about what the politicians can do for me and not about what I can do for my country- 2 weeks by the side of the road, Imaini program created for children of those doing 2 weeks weeks by the side of the the road and those who scream and clap at nonsensical utterances by a group of dumbos.
It totally unfair to say that the people of Grenada must have an appetite for it. The people (like everyone else) are purposely kept in the dark with these shenanigans when clarity is denied.
Folks are in the dark because they want to kept in the dark.
During 2008 NDC Campaigned against corruption. If you noticed, more than half the ministers were lawyers. There were no focus to change current corrupt invironment by instituting laws that could been put in place within fist 100 days. If they did, it meant the whole lot of them will have give account or possibly end up in jail.
To add, folks sitting around the table of the NNP have no integrity as they could have voted out the leader. Instead, they stayed and supported a corrupt leader because they were more worried of what they stand lose….and all those who left, left with sour grapes because they did get they way.
All of them directly or indirectly supported backroom deals and the public only hears about it when deal goes sour….As an example it was beyond Disgusting for then PM to appoint a white man and then turned around and played the race card. The very same PM have cost Grenada millions and millions of dollars.
Considering yoh have a sitting PM judgements brought against him and uses the office to avoid accountability.
Again, there is no access to Information. There are no independent institutions that can operate without political interference.
Remember, the folks who are elected comes from within the society. So if there is no appetite for corruption we would not be having this conversation.
Tell me which institution in Grenada that can call for or carry out criminal investigations into the law fraternity,businesses ministers, the police and other elected officials.
Have you noticed the both political parties always conveniently accused each other of victimization. But no one does anything about it…
They all hire folks outside the Public Service Commission which means whenever a government changes all those politically jobs must go as well.
The status quo remains as those who stand to benefit the most are given power to continually do nothing.
We have a clown leading us good god… Dodgy Doc needs to go, this is embarrassing…
I cannot agree more with the 2 previous comments. Also well written as usual Mr Samuels. To add, we really do need new blood in the office at the top of The Botanical Gardens. Remember to bear with the possible new leader because he will have a lot of fixing to do after all the mess from the last 8 years 🙁
Dear Grenada citizens… Keith Mitchell must be replaced. Honest government must be restored, one that serves the people. And a PM who does not harbor racist thoughts and speak them freely for all to hear.
Also beware of foreign investors who want to buy up Grenada land, do not sell I tell you. To give up a piece of Grenada for a hand full of silver is the act of a foolish person. Sad part is that so much of the most beautiful land has indeed already been sold and there is no going back.
This situation must be resolved quickly !!
Grenadians – remember this when you are thinking about where to cast your vote – at the very least this government needs some serious opposition please for God’s sake!
This pm obviously does not have Grenada’s best interests at heart…
It is rather alarming and surely a loss of credibility for the FBI that an individual such as Charles Liu continued to run around the world as a Federal Fugitive still flashing the status of a Diplomatic Passport given to him by Grenada, surely at the directive of PM Keith Mitchell.
While in Grenada, Liu flashed and handed out and filled pockets of cash like candy – that perhaps explains the love affair even after what Liu was charged of doing to investors in California; ripping them off. ” Birds of a feather stick together ” goes the old saying. Another ” fellow crook ” love mentality.
Correction- ( Spell Check altered it:
” loss of credibility for the CBI …