The state of the Financial Services and the recent statements about same by the United Kingdom (UK) Prime Minister David Cameron was seen through the eyes of a concerned citizen while at the community meeting held at the Valerie O. Thomas Community Centre in Sea Cows Bay on May 30, 2013. Photo: VINO

Third District Representative Hon. Julian Fraser, RA said there needs to be a clear understanding of what’s going on in the world of financial services. He said that any slackening of the financial services front can be devastating considering the “bigger picture of things.” Photo: VINO

According to Hon. Fraser, the financial services sector has provided a humble income of a great number of women of the Virgin Islands. Photo: VINO

Some of the persons in attendance at the community meeting in Sea Cows Bay on May 30, 2013. Photo: VINO

“This issue of beneficial ownership and I am going to be very clear, I don’t need my name to be called or mentioned because I want the message to get out and forget about me,” said the resident who is a familiar personality around the community.

In expressing his view, the resident said that if the issue of beneficial ownership becomes public it would be a very serious turn for the worse. “And he (Cameron) even mentioned that he wants to know who is behind the companies, more than likely he want to know who the directors are, the functionaries, meaning the directors,” said the concerned resident.

He said that there are a lot of companies that make a lot of monies from corporate directorships and nominee’s shareholdership among others.  “I am going to tell you plain and simple if we go down that road, and I think that a lot of people in the industry should be on an edge if they are not on an edge. If we go down that road of actually disclosing having public registers we can literally kiss the financial services industry goodbye. I am not here to apologise to anyone. Everyone who is in the know, knows if we go that route we are going to end up in some trouble,” said the resident.

He further explained that “the industry would not cease to exist if people are going to move from here because there are people that have here not for unscrupulous use but there are a lot of people from as far as South America that actually use the finance of the industry for privacy because their assets have been declared and they know they can be kidnapped, they can be held for ransom. It’s a larger issue I understand what they trying to do in capturing people who are using the vehicle for unscrupulous reasons.”

The resident cautioned that there is a need to be very careful that the issue of politics is not the issue but one of survival because if the industry goes down incorporation is not going to increase it’s going to decrease and significantly it’s going to have a rippling effect on the economy. “Because what’s going to happen, the revenue into government is going to fall, it means that people are going to be unemployed not only in the financial services industry but also in government and the list goes on.”

He said with no apologies that monies that are being collected by property owners will not come through tourism but rather through the financial services, which if not dealt with carefully, can have consequences and repercussions. “I really want us to leave from here and think about it really seriously.”

The meeting of the G8 is on June 15, 2013 in Northern Ireland and he said the whole issue of taxation will be a key topic. “We have not been brought in on the satellite but that has been going on for quite some time and I think it is my view, God forbid, it might only be a matter of time. This thing has been coming, it started with the immobilization of their shares, zero taxation. We are at a very serious stage of our development and our future as we should know it,” the concerned resident told the gathering.

Third District Representative Honourable Julian Fraser, RA supported the suggestion that beneficial ownership is one that would cause some level of damage. “And when Mr Cameron said that he wants his friend from the G8 to come on board I think he was talking about just that.”

Hon. Fraser said that it calls for a clear understanding of what’s going on in the world of financial services. He said that any slackening of the financial services front can be devastating considering the “bigger picture of things.”

He referred to the sector providing a humble income of a great number of women of the Virgin Islands. “It’s not a matter of chahooning and chumping at making you the people of Tortola feel good about us when the facts are different, there is a reality and we have to come to grips with it.”

The Member of the Opposition also said it is time that the government of the Virgin Islands level with the people. “It’s a ugly picture, the United Kingdom Government is protecting the citizens of the United Kingdom.” He argued that while the United Kingdom needs the Virgin Islands and will do everything to protect the VI, the exception comes when it comes to the point where their [UK] credibility goes on the line.

Hon. Fraser said he sees the solution in diversifying the economy but he stated emphatically that he is not claiming gloom and doom. “Believe me, that’s not what I am here doing.”