Regardless of whether Bryce Merren is found innocent, guilty or otherwise, the Caymanian’s recent arrest on allegations of attempted drug smuggling and money laundering is a direct strike to the Cayman Islands’ carefully crafted public image.
The accusations — that Mr. Merren sought to purchase up to 6,000 kilograms of cocaine and extend a money laundering operation to Puerto Rico — could have been ripped right from the pages of a John Grisham thriller, and feed into the very worst stereotypes about our country and its people.
Consider the elements of the allegations:
- Massive amounts of cocaine — Starting with the planned transfer of 1,000 kilograms, U.S. narcotics agents claim amounts discussed totaled up to 6,000 kilograms (for the Yanks, that’s 6.6 tons).
- Massive amounts of money — Although official estimates of illicit drug prices vary widely (as might be expected), the amounts of cocaine allegedly under discussion would certainly be worth tens, and probably hundreds, of millions of dollars.
- Money laundering via Caymanian businesses — U.S. agents claim Mr. Merren promised to wire US$400,000 each day from Cayman to Puerto Rico to fund the operation, with the money coming from Mr. Merren’s existing network of legitimate businesses in Cayman and Curacao. That’s US$146 million per year.
- A Caymanian businessman — As far as we’re aware, Mr. Merren has never been accused of anything of this nature before, and heretofore his appearances in Cayman media have only concerned news on his local business interests or fishing pursuits.
On top of all this, the Merrens are one of Cayman’s most prestigious and well-established families. The Wall of Honour in Heroes Square contains the names of nine Merrens, leaders in business, education and government.
It bears emphasizing that the issue is at the beginning of the U.S. legal process — where, like in Cayman, people are considered innocent until proven guilty — and right now, Mr. Merren has not been convicted of anything, and thus far no one else has been formally accused of a crime. At this point, what we don’t know about the case is far, far greater than what we do know.
For example, although U.S. agents claim there was talk of thousands of kilos of cocaine and hundreds of thousands of dollars per day, they only attest to a single transfer of US$200,000, with no drugs actually exchanging hands, and so far no proof of any existing money laundering network.
And while there has been scant mention of Royal Cayman Islands Police Service involvement, they very well could have been assisting or even leading the investigation, but are keeping quiet for operational reasons.
Again, however, the very nature and sheer magnitude of the allegations themselves reflect negatively on Cayman, and we’re sure if the case goes forward, the usual canards and generalizations about this country will be repeated innumerable times by foreign media who may not know anything about Cayman other than what is contained in the story they are presenting.
Just like each person, each culture writes its own history, and for Cayman this tale is a sad chapter — no matter if it turns out to be fact or fiction.
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This incident, however it turns out, will do little to change the average American’s concept of Cayman – as a tax haven / money laundering / banking haven located on a beautiful little rock in the Caribbean. A place that allows mega rich Americans to get out of their tax obligations but out of reach for the average middle class US citizen.
Whatever carefully crafted image the editor thinks exists is nonexistent to begin with. The Caymans already have a reputation – get over it! This story won’t even last a day in most US media outlets. Big news for Cayman – not even Noteworthy up here.
So instead of this editorial waste of time, perhaps just report the facts. And for those who care keep the family in your prayers – and be kind to them instead of the knee jerk human response of being quick to judge. But for the grace of God any one of us could get caught up in a US trap (see Jack and Jill).
An editorial section on what Cayman can do to steer her way back to being a nation of real opportunity for young people would be much more valuable. There was a time when lowly expats like me were allowed to pay government for the privilege of attending public High School with people who are now well respected, successful Caymanian leaders. And back then fights were rare at school – and guns were rarely seen.
So instead of worrying about the islands’ foreign image (which you have little control over anyway) – look at ways of bringing integrity and opportunity back. When those are present – those who know you will know the truth – and that is what is most important!
Excellent editorial but I would suggest that the final paragraph could have read – and for Cayman this tale is yet another sad chapter.
Internationally, it just follows on from other adverse media stories like the gun smuggling fiasco, the HSBC Mexico scandal and of course Operation Tempura.
Domestically, the Cayman Islands seems to suffer from a clear inability to grasp the basics of a running a modern society. The civil service is largely dysfunctional and incapable of managing simple things like pension and health insurance schemes let alone multi-million dollar contracts or the trillions of dollars flowing through the offshore accounts based here.
In fact when stories like this break any outsider could be excused for regarding the Islands as some corrupt third-world backwater rather than a well-regulated offshore jurisdiction.
I hope the allegations regarding Mr. Merren are untrue but even if they are I don’t believe that this story or much of any other negative story about the Cayman Islands has a significant impact. I live in the U.S. and speak with many people about the island because I lived there for many years. Everyone I speak with that know of the island never bring up these stories. They are more interested in the diving, resort or investment opportunities the Islands offer.
Negative stories will come and go but the beauty of the island and the people will remain.
I hope the Caymanian people hold their heads high always. They should never apologize for who the are and what the island is. In my opinion it is one of the last remaining places where people are truly free to pursue their god given talents and aspirations without an overbearing government trying to control every aspect of their lives and take a cut of every penny they earn.
All the laws man can imagine cannot stop some people from breaking them, it doesn’t mean you tarnish everyone for a few bad apples and I am in no way suggesting that Mr. Merren is one of those apples. This could all be bogus for all anyone knows at this point. Either way, he will have to face the justice system.
For every bad story about the island there are hundreds of good ones.
Stay strong Cayman, stay free. No apologies.
Sorry Mark but you clearly do not understand the extent to which the Cayman Islands now relies on offshore banking/investment to remain solvent or how much damage these stories can do.
This may disappear out of the media in a few days (old UK press saying – headlines today, wrapping fish and chips tomorrow) but the long-term damage has already been done.
Whatever the outcome, there is a clear message being sent here that US law enforcement is targeting people doing business out of the Cayman Islands and whilst that may not deter tourists it will definitely impact on the financial sector and that in turn hurts everybody.
The fact is that all the oft-quoted local legislation designed to stop money laundering is not working, partly because the available law enforcement on the Islands is inadequate to deal with it, so the US authorities are stepping up to the plate and taking over.
Personally, I welcome this because it may finally kick some sense into CIG but at the same time it is regrettable because it will harm us.
Sorry, David, but I disagree. The Cayman Islands has endured this sort of broad stroke characterization forever.
As far as the U.S. stepping in … You must be joking. Puerto Rico is a U.S. territory so naturally the U.S. would be involved in this particular enforcement activity. Just because the accused happens to be a Caymanian means nothing at this point. Pardon me, but U.S. law enforcement doing its job doesn’t necessarily mean another country is not doing theirs.
And it’s not as though the U.S. doesn’t have problems of its own with money laundering and narcotic importation going on rampantly in every major U.S. city. That’s not a slam on the U.S. it’s just a fact.
You say the anti-money laundering legislation is not working. Sheesh … let’s not forget the guy got arrested. You don’t know what law enforcement collaboration went on behind the scenes. For all you know, Cayman authorities may have tipped off the authorities in PR. I think you are taking a lot of things for granted here.
And by the way, a few anecdotal arrests and convictions over the years is hardly a measure of success or failure of a law. By that standard what law is working now or could ever work for that matter?
There will always be people who will break the law. Some will succeed without being caught and some won’t. Nothing new in that concept.
For Chicken Little, the sky is perpetually falling.
I don’t know how long ago you lived here, Mark Veilleux, but that is not the Cayman I live in and I have been here a long time.
Mark, I have to agree with Dave Beethoven. This is the real world talking, not the one you have decided to believe in.
Try actually living here for while you may learn the difference.
I can smell Troll here!
Talk about living in an alternate universe. Please do tell what country in the world does not have their laws broken.
Ok Dave(s) so rather than address a single point and actually make an argument as I did with your post(David W) you want to resort to attacking me personally. And as far as living in the Cayman Islands I lived there for about 10 years not so long ago and will be returning very soon. I have maintained property on the island as well, I’ve maintained personal friendships there. I’m not saying the story is a good story for Cayman, clearly it isn’t but I don’t think jumping to conclusions in a knee jerk fashion is helpful either.
Have you ever once David(s) said a good word about the place you call home? I’m not a Caymanian but I do love the place and will defend her as I do my own home country.
Who’s the troll now?
David if you read Mark’s comments you will note that he did live in Cayman for a while. Thus he is in a good position to comment.
Someone will have to show me his actual bank acct from the the bank with a manager’s letter. US 400,000 per day ? US146,000,000.per year ? Impossible
These things has been going on in Cayman since the past 30 to 40 years.