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Hon Fraser accuses Premier Smith of lying to public again!

- said Leader of Government Business giving information contrary to what is in Agreeement with BVI Airways
Opposition Leader Hon Julian Fraser RA (R3), left, has accused Premier Dr The Hon D. Orlando Smith, right, of misleading the public on the controversial BVI Airways agreement. Photo: Facebook/VINO
BVI Airways was given $7M by Government as a subsidy to begin direct flights between the US mainland and the VI. Premier Smith had said Government will recover the investment within three years of the airline operations. Photo: Internet Source
BVI Airways was given $7M by Government as a subsidy to begin direct flights between the US mainland and the VI. Premier Smith had said Government will recover the investment within three years of the airline operations. Photo: Internet Source
ROAD TOWN, Tortola, VI- Opposition Leader Hon Julian Fraser RA (R3) has accused Premier Dr The Hon D. Orlando Smith of misleading the public on the controversial BVI Airways agreement.

Both Hon Fraser and fellow member of the Opposition, Hon Andrew A. Fahie (R1), have in the past accused Premier Smith of bringing misinformation to the House of Assembly.

According to a press release issued today, July 11, 2016 by the Leader of the Opposition, Hon Fraser, it was at the Ninth Sitting of the First Session of the Third House of Assembly on June 23, 2016 that he was shocked at the ease with which the Premier casually responded to questions regarding Government’s Agreement with BVI Airways with answers that "did not square fully" with the facts of the Agreement.

‘Misinformation’ by Premier Smith?

Hon Fraser explained that he specifically asked the Premier how his government expects to reimburse BVI Airways its estimated start-up cost, to which Premier Smith replied “The agreement signed with BVI Government makes no separate provision for reimbursement of these startup costs.”

The Premier’s answer was untrue, claimed Hon Fraser, noting that Sec. 5 (c) of the Agreement, which has not been made available to this news site, Government agreed to reimburse BVI Airways for its estimated start-up costs.”

“My Question (B): To reimburse it its estimated operating loss to be incurred during its first three years of operation? Premier’s Answer: The cost of any anticipated losses during the three-year contract  are also covered by the seven million dollar ($7 M) injection agreement.”

But according to Hon Fraser, Sec. 5 (c) of the BVI Airways Agreement states that Government has agreed to reimburse BVI Airways the estimated operating losses to be incurred during the initial three years of operation.

The Opposition Leader continued that he also asked about an agreement to guarantee BVI Airways an annual return of 20% on its investment and that Premier Smith said “The Government cannot guarantee the 20% annual return on the investment made.”

This was also misleading, according to Hon Fraser, who said that “In The Agreement: Sec. 5 (c) Government: Agrees to guarantee BVI Airways an annual return on investment of at least 20%.”

Premier Smith had also stated that his Government is obliged by agreement to make no further injections beyond seven million dollars to BVI Airways, however, this too has been shot down by Hon Fraser as misleading.

“You will note that the Premier did not answer to the question of gross ambiguity in the Agreement, where he is guaranteeing a profit; covering any losses; reimbursing start-up expenses; and still be sure that it will be within the seven million dollars, ($7,000,000). I submit to you that both the Premier and BVI Airways know full well where any additional funds will be coming from should government’s guarantees in my questions…exceed the seven million dollars, ($7,000,000).”

Premier Smith repeatedly denied further monetary obligations to BVI Airways

Hon Fraser stated that knowing the contents of the Agreement, and seeing that the answers given by the Premier were at odds with what is contracted for in the Agreement, he asked a follow-up question to the Premier with the hope he would rectify that the VI Government is not committed to covering the start-up costs, and to also reimburse BVI Airways on its loss, and the 20% annual return on its investments.

Again, Hon Fraser said Premier Smith’s response was contrary to what is in the Agreement.

“Premier’s Answer: By virtue of injecting the money, Government has agreed to participate in part of the startup costs.” This is “NOT TRUE” according to Hon Fraser, who said that “In The Agreement: Sec. 5 (c) Government agrees to reimburse BVI Airways for its estimated start-up costs and estimated operating losses to be incurred during the initial three (3) years of operations and to guarantee to BVI Airways, an annual return on investment of at least 20% (the ‘guarantee’).”

Hon Fraser concluded that after having gone through this experience with the Premier giving less than factual answers in the House of Assembly one too many times, “I thought it right to bring the matter before the public with the hope it will end. My own opinion is that the people responsible for providing the Premier with this information in their efforts to be correct, are doing the Premier a disservice by causing him to mislead the public,” Hon Fraser said.

25 Responses to “Hon Fraser accuses Premier Smith of lying to public again!”

  • ccc (11/07/2016, 18:26) Like (4) Dislike (0) Reply
    Well sah
  • wize up (11/07/2016, 20:29) Like (38) Dislike (35) Reply
    Try go sit down with this dumb conversation Fraser; how quick you forgetting Bi water; you were not upfront with the people on bi water; the sea cows bay wall; the sea cows bay harbour project: you colligue from the first yet to tell the people about that 650K given to Claude; the tax payers money given away on the drag racing and the so called medical study.....if this all you can bring to the table then keep taking!!!!
    • minks (11/07/2016, 23:44) Like (21) Dislike (2) Reply
      Biwater done gone move forward.
      • Ning. (13/07/2016, 10:21) Like (3) Dislike (0) Reply
        Thank you for making that clear. Some want to live in the pass forever to justify nonsense.
    • NDP Agent (12/07/2016, 02:22) Like (25) Dislike (1) Reply
      The crooked NDP Agents like you, can't talk about the issue which is the bogus Agreement the sign with BV I Airways. $7 million down the drain. Biwater was so bad NDP people dem end up buying it. Bunch oh hypocrites. Them talk bout a wall in the 3rd District, but them not talk bout Myrun $1 million wall round the high school.

      BVI Airways ain't going fly, that $7 million going end up in them pocket just like the millions of $$$ from the Cruise Pier Ptoject.
      • Hogwash (12/07/2016, 12:29) Like (2) Dislike (20) Reply
        Myron wall was bigger and longer and it cost $1 million.

        Fraser wall was smaller and shorter and it cost $1 million.
        • homie (12/07/2016, 14:32) Like (0) Dislike (1) Reply
          Homeboy this is exactly wha this story about..LIARS LIES AND LIES.. You NDP people good so. Fraser wall 4 petty contracts less than $200 thousand
    • @ wize up (12/07/2016, 07:25) Like (7) Dislike (1) Reply
      stick to the facts and not blogging for blogging sake. take off today and go ask your NDP crooks who buyout Biwater to give you the information you say on biwater. After all it was such a bad deal, so I wonder why you all bought it out. while you at it ask for a audit on the 1million wall, the mold contract, the Ports Project and the money thief though consultants
      • Hogwash (12/07/2016, 12:31) Like (1) Dislike (2) Reply
        Who else you expect to buy out Bi Water ??????? It was part of the deal to own the plant after a few years but Bi Water went bankrupt before then so yes buy it out!
    • @wizeup (12/07/2016, 12:52) Like (3) Dislike (1) Reply
      Dude why such a Mssube boner for Frazer? Even Seas are the new owners (majority shareholder; whom are the local investors?) so why you trying to resurrect a dead hog? If the BiWater deal was so bad why did Gov. allow the sale and what were the conditions of said acquisition? Why you don't ask about the no-tender contract that Ocean Cinversion of Green Fields have been receiving without any reviews!!! You're one bored hombre with a chip on his shoulder - go drink some mauby and chill.....BiWater is now Seven Seas!!! Uncle Tom....
    • Boss (12/07/2016, 23:35) Like (5) Dislike (1) Reply
      Wize up shut your ass, bi water was supposed to be for the people of the Virgin Islands after 15 years. What has the NDP done, the allow bi water to slip away from the people and ended up in one of their rich white friends hands. Bi water was an excellent deal for the people it would have rake in millions but it was never the NDP idea so they done away with it. Don't be surprise if they give way the sewage plants to their rich white friends as well
  • qc (11/07/2016, 20:32) Like (10) Dislike (4) Reply
    Good luck with that,lyin goverment fraser
  • ------------------------- (11/07/2016, 20:34) Like (13) Dislike (1) Reply
    After having concluded, sadly, after the 2015 snap elections, that the BVI has similarly inept, disingenuous and untruthful politicians as the other islands
  • voter (11/07/2016, 22:49) Like (70) Dislike (0) Reply
    SMH. Oh Smitty how you have dissapointed. smh
  • ccc (11/07/2016, 22:50) Like (9) Dislike (1) Reply
    Ndp and telling lies are one in the same
  • SAY I SAY SO (11/07/2016, 23:58) Like (30) Dislike (2) Reply
    The BVI will regret not voting for a fraser's government.
    • +++ (12/07/2016, 09:11) Like (7) Dislike (5) Reply
      Fraser is doing an excellent job as rep holding NDP feet to the fire and trying to hold them accountable. As attack dog this is where he is valuable. As leader, he had/ has too much ego. I dearly hope a compromise and fresh blood be found for the next election. VIP was not ready to lead. But we cannot have NDP- with their casual disregard for the law- re-elected. Start now to identify new people. Fraser's experience is better left as the attack dog and not alienating "leader".
  • facts man (12/07/2016, 07:22) Like (7) Dislike (0) Reply
    This is definitely not Government in the sunshine.
  • ta ta (12/07/2016, 07:29) Like (7) Dislike (0) Reply
    I suspect the real reason that the TRUTH was hidden from the public was because Government was just so embarrassed about their own inability to negotiate with a set of fools around the table, along with it had to have kick backs for the other ballhead man who own the news paper
  • so show us! (12/07/2016, 09:18) Like (7) Dislike (0) Reply
    Show us the contract! It's our money!
  • beam (12/07/2016, 10:52) Like (1) Dislike (0) Reply
    Man let me tell you all have failed. Both previous and present Government. Its better to try and fail in your trying then to not try at all. We are human and we are subject to mistakes so please don't appear to be perfect we are fooling our selves. Truth be told both parties failed in certain areas. If we can own up to our mistakes we are well on our way to recovery. The people would respect us more but if we wallow in our mess and try to cover up the truth only time will tell. Time for reconciliation the country need to move forward. Stop covering up and let's gain the public trust. The public is holding you accountable. tell us more don't surprise us. I find that procrastination seems to cripple us in this territory. We wait until something happen to act or react to issues that are confronting us daily. The public crying out for help and continues to make valuable contributions and we are not listening. Pay attention to the public more slow down and take a inner look do some self check.
  • Bunny (12/07/2016, 13:05) Like (4) Dislike (21) Reply
    why don't Fraser go sit down .. getting sick of this man now.
  • old (12/07/2016, 19:55) Like (5) Dislike (0) Reply
    why you dont shut your mouth i sick of you on the int...... now
  • yellow (12/07/2016, 23:57) Like (4) Dislike (0) Reply
    I really hope that all well thinking persons see what the NDP has cost the country yet again.

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