The electorate of Nevis have spoken and soundly declared that reform in government was necessary for the future welfare of the island and its inhabitants. The sitting Premier, Joseph Parry, was dethroned and in his place Vance Amory was affirmed as the official of choice to lead the Nevis Island Administration (NIA) out of the financial and moral chaos perpetrated by the outgoing administration.
Much to the surprise of no one, once Premier Armory had a chance to review the books and records of the NIA, he found the financial situation to be more dire than anticipated. According to a recent Caribbean News Now article, Premier Amory told local media that reckless use of the island’s finances by the outgoing administration had almost crippled the island and had brought its reputation into disrepute with overseas financial institutions. He further stated that the financial health of the NIA deteriorated significantly. Beyond the material increase in debt, CNN also reported that many persons were employed on contracts or as temporary workers at inflated salaries without clear job descriptions. CNN further noted that many advisors were employed and paid large salaries with no evidence of actual work.
Premier Amory, along with Deputy Premier Mark Brantley, have initiated decisive steps to correct the prior miscues of the Parry administration. For example, they have taken action to restructure the civil service organization and terminate individual contracts deemed to be patronage rewards with no tangible value to the NIA. It has also been locally reported that Premier Amory and his Cabinet will voluntarily accept a 10% salary cut in demonstration of their commitment to help alleviate the financial crisis facing the NIA.
Steps such as these reflect favorably on the new administration, but should only be viewed as the first step on a long journey back to financial solvency. Premier Amory must address other serious issues facing the NIA, such as the matter of the United Trading Investment Company’s (UTICO) legally binding agreement to modernize Nevis’s corporate registry. To date, the NIA has failed to meet its obligations under the agreement, prompting UTICO to send formal letters from its New York based attorneys threatening to take legal action against the NIA under United States jurisdiction. Any resulting judgment against the NIA would have long term negative financial consequences for Nevis. Such is the legacy of former Premier Parry’s game of evasion and obfuscation with international business interests, thereby adding to the already questionable economic profile of Nevis abroad.
Trepidation by a minority of concerned citizens over the specter of privatization of the registry and loss of control is truly baseless and without any real merit. In reality, privatization of former publicly operated institutions is commonplace in international practice and growing more so. Typical examples of successful privatization of registries include the Marshall Islands and the Republic of Liberia. Each accrued considerable benefit from outsourcing (while still maintaining ownership) of their registry operations into the hands of knowledgeable business professionals. Such qualified individuals understand the mechanics of enhancing a business and building a strong foundation for the future.
The financial performance of the existing corporate registry infrastructure over the last decade can be described as disappointing at best. This stems from several factors including a lack of qualified staff to cultivate and grow the registry by creating a global presence in international business communities. To date, the Nevis registry has no satellite offices in other commercial jurisdictions resulting in a severe lack of visibility and credibility outside of Nevis. For the Nevis registry to flourish, it must be treated as a real business and not as a bureaucratic organization staffed by political appointees. It requires a dedicated firm, like UTICO, to invest their own funds and other skilled resources to achieve long term success with ultimate value and return to Nevis.
The rapid advancement of electronic and social media demands that corporate registries keep pace with the modern world or run the risk of becoming obsolete. Prospective clients are demanding more electronic services and on an instantaneous basis. The Nevis registry’s continuing failure to perform compared to other corporate registries has cast it in a poor light to the international community. Corporate registries, such as those empowered by the governments of Liberia and the Marshall Islands, continue to excel while the perception of Nevis falls farther behind with each passing year. The argument for modernizing the registry and doing it promptly is compelling.
Reliable sources report that UTICO has reached out to the current administration and stated its desire to amicably resolve the current dispute with the NIA. To its credit, the Amory administration has in turn advised UTICO of its preference to amicably address the matter as well, avoiding costly legal bills and international notoriety for the NIA. While this appears promising, UTICO has heard such promises in past communications with Nevis. Back in December 2012, Senior Counsel Anthony Astaphan ?appointed by Premier Parry to attend to the matter?advised UTICO and the public of his intent to address the issue in short order. That statement was the last anyone heard from Mr. Astaphan regarding NIA’s response to the serious legal matter hanging over their heads.
Obviously, Mr. Parry ducked his fiduciary and moral obligations with regard to UTICO and left the incoming administration the responsibility to clean up his mess. It would be shameful of the Amory administration to drop the ball on a potentially lucrative opportunity in light of the NIA’s afore-mentioned adverse financial condition. The public needs to better understand the benefits that will accrue to the island over the next several decades with a world class modern registry in place.
It will be interesting to see if the old habits and failed policies of the prior administration carry over into the newly led Amory government. Promises to take action and not following through will only indicate to the global community that it is “business as usual” in Nevis. A word of caution for the new leaders of the NIA?not only is the international business community watching how issues such as this will ultimately transpire, but more importantly the people of Nevis are observing as well. Their tolerance for an ineffective government threatening the future well being of their children is at an all time low.
The government needs to take heed and act accordingly!
ABOUT GEORGE MILLER
George Miller, currently a Senior Vice President at Executive Action LLC, focusing on International Affairs, the CIA, Office of the Director of National Intelligence, law enforcement, and Department of Homeland Security matters. Mr. Miller is one of America’s leading foreign policy strategist, and has published extensively in foreign affairs journals.
With thirty years of high-level experience in homeland security, counterterrorism, and intelligence issues, as well as extensive knowledge of the agencies and departments responsible for them. Over the years, Mr. Miller has worked with some of the world’s top business moguls and has worked with several global election campaigns, including that of the President of the United States, Barack Obama. In politics, Mr. Miller has worked with foreign candidates and governments including: Guinean President Lansana Conte; Ivorian Prime Minister Gilbert Ake; Russian President Boris Yeltsin and The Dalai Lama. The numerous honors and merit awards he has received include the Distinguished Career Intelligence Medal and the Intelligence Commendation Medal. Mr. Miller pursued doctoral studies at Indiana University, and holds degrees from Dartmouth College.
