Opposition Leader recommends Think Tank

 by Mellica McPherson

The members of the Legislative Council declared their concern about the “Mutual Legal Assistance (Tax Matters) (Amendment) Act, 2004”, when the Act was read for the second and third time, at Thursday’s 26 May Legislative Council sitting. The Mutual Legal Assistance Act deals with the UK Tax Directive, which has been a pressing subject in the Legislative Council for more than a year now.

Representative for the Third District, Hon. Julian Fraser announced at Thursday’s sitting that he could not support the Savings Directive Bill.

On the other hand, Leader of the Opposition, Hon. Ralph T. O’Neal explained that the UK Savings Directive is a matter that has been around for some time. He said that the Directive has been thrown on the BVI, but  we should make good of a bad situation.

 Hon. O’Neal advised that the BVI should set up a ‘Financial Service Think Tank’.  “They are coming again to see where they can attack the BVI. The Think Tank will help us defeat them, they are not going to stop the BVI Financial Services Commission, but we need the help of the private sector."  He told the House that the European Union (E.U.) wants to destroy the BVI Financial Services, just as they destroyed the sugar and banana industry of other countries. He said that they will continue to try, that is why the Minister of Finance must keep on his toes to prevent this from happening.

The seasoned politician described the present situation as “our hand being in the Lion’s mouth”; he advised that we have to try to take our head out of the beast’s mouth without a scratch. Mr. O’Neal said that we should show the E.U. that we are trying to comply; and if we are united in the cause we will be able to help the case of the BVI. He announced that the United Kingdom has assured that these directives will not come down upon the BVI without due warning. “The Bill has to be passed even though we might not be in favor, let us go along”, Mr. O'Neal concluded.

Chief Minister Hon. D. Orlando Smith told the House that he supported the Bill, because "to do nothing is not a viable option." He said that the Government has been mitigating the negative effects the passage of this bill will have on the BVI economy. Hon. Smith said that the UK Government would defend the BVI as a Jurisdiction. He disclosed that the UK Government has assured that the BVI will not be stepping out alone; instead, all other UK territories will be signing these documents at the same time.  The BVI Leader said that “while this Bill has to be passed, we have been doing all we can to minimizing risks."

Minister of Finance, Hon. Ronnie Skelton, said that he intends to take Hon. Fraser, and Hon.  O’Neal’s advice to organize a Think Tank. Mr. Skelton told the House that the private sector has always given a helping hand, so their assistance can be expected. He explained that “because of the BVI’s size people will do things to us, but we should think ahead of the game, but we should not lose sight that when we put our heads together we come up with beautiful ideas. We need to cry a little, and be depressed, but we need to move on and look for new products and businesses in order to ensure the well-being of our people. The U.K will look after her own interest. We believe that the effect will not be detrimental but we can lose 20 percent of business if our product is not packaged and marketed properly. That is why the Chief Minister has been talking to the U.K about the BVI negotiating with countries such as the U.S to get help in the protection of our borders.”  Read more on page 27