ESTABLISHED 1965 www.caymancompass.com – 50 CENTS – Thursday June 4, 2015 SportS | page 17 cayMan dOMInanT In raInfOresT seVens National men’s rugby team in Costa Rica High of 83 Low of 72 Moderate with wave heights of 3 to 5 feet, becoming rough in and around heavy showers editorial | page 4 cIMa chIef scOTland MusT recuse herself frOM fIfa MaTTers Personal Insurance Pay less for more cover with BritCay! insurance, health, pensions, life Low deductibles and generous benefits are standard cover with BritCay. Ask for a quote and start paying less for more cover now! BRITISH CAYMANIAN INSURANCE CO. LTD. BritCay House, 236 Eastern Avenue, George Town, P.O. Box 74, KY1-1102 Tel. 949-8699 www.britcay.ky A member of Colonial Group International: insurance, health, pensions, life Call 949-8699 www.britcay.ky Premier: ‘Zero tolerance’ FIFA probe puts Cayman in the spotlight JaMes WhITTaker jwhittaker@pinnaclemedialtd.com Cayman Islands Premier Alden McLaughlin has defended the islands’ rep- utation in the wake of the FIFA bribery scandal, saying his government takes a “zero tolerance approach to anyone carrying out il- licit activities” through the territory. He said local law enforcement agencies are cooperating with the international in- vestigation into allegations of corruption at world football’s governing body. The premier added that he was satisfied that the Cayman Islands Monetary Authority was taking “appropriate action” following allegations that some bribery payments were routed through Fidelity Bank Ltd. in Grand Cayman. He said, “The Cayman Islands has a rep- utation for engagement and achievement of very robust global standards in relation to the regulation of domestic and cross-border financial transactions. “We do not intend to compromise the hard work we have done over the past couple of decades and the good rating and reputa- tion we have earned. “We have a long history of cooperating ...and in the CarePay Case BrenT fuller bfuller@pinnaclemedialtd.com Cayman Islands police investigators looking into fraud and money laundering al- legations against a prominent local busi- nessman are probing two cash payments prosecutors have connected to the case, at least one of which was withdrawn from an ac- count at Fidelity Bank, the Cayman Compass has learned. Canover Watson faces 10 charges in Cayman Islands Grand Court for which he is due to stand trial in November, in- cluding six charges for alleged money laun- dering. Watson’s former personal assistant, Miriam Rodriguez, also faces two charges of money laundering in the Grand Court and a November trial date. The money laundering allegations against Rodriguez relate to separate amounts totaling US$25,000 and US$30,000 that she is accused of handling on behalf of Watson. The LiNks Fidelity Bank and COnCaCaF... MIchael kleIn mklein@pinnaclemedialtd.com Anwer Sunderji, chairman and chief ex- ecutive of Fidelity Group, was a member of CONCACAF’s finance committee when bribe payments to the regional football association president Jeff Webb were allegedly routed through Fidelity Bank in Cayman. The finance committee was formed at the behest of Webb in December 2012 to focus on monitoring and oversight of the confedera- tion’s financial management. Last week, U.S. authorities brought corrup- tion and racketeering charges against Webb and other FIFA officials and sports marketers related to millions of dollars of bribe and kick- back payments for football marketing rights. The indictment alleges that in November and December 2012, three bribe payments, to- taling US$1.5 million, were wired to accounts controlled by Webb associate Costas Takkas at Fidelity Bank in Cayman. Mr. Sunderji said Wednesday that he was invited to join CONCACAF’s finance committee by Webb, who he said was looking to “beef up” heavy rains pound Cayman JeWel leVy jlevy@pinnaclemedialtd.com Heavy rains soaked Cayman for the third consecutive day on Wednesday, driving some residents out of their homes, forcing motorists to take al- ternate routes and prompting some schools to close. The Royal Cayman Islands Police reported late Wednesday morning that Anthony Drive in George Town was impassable and advised motorists to avoid the area. Yeats and Sitwell streets in Belford Estates, Bodden Town, also reported flooding, and areas of Hurst Road, North Sound Estates and Shamrock Road near the Lime Exchange were also af- fected by flooding, a police statement said. The Emergency Services in North Side responded to reports of flooding on Rum Point Road, where at least four homes were flooded. The North Side Shelter and the Red Cross Shelter on Huldah Avenue, George Town, opened at noon Wednesday. PLEASE TURN TO PAGE 6 » PLEASE TURN TO PAGE 6 » PLEASE TURN TO PAGE 8 » PLEASE TURN TO PAGE 7 » hope Drive off of smith Road in smith Road Villas. - PhOtOs: taneOs ramsay Drivers eastbound on smith Road, heading in the direction of the airport.2 REGIONAL Thursday June 4, 2015 • Cayman Compass www. REGmovies.com SATURDAY NIGHT: For your viewing pleasure, minors under the age of 18 will not be admitted to any lm starting after 6pm, unless accompanied by their parent. y x *Additional charges will apply per 3D ticket requested. - THURSDAY - $8.00 SAN ANDREAS 3D (PG13) 12:45 I 7:15 I 9:50 2D ENTOURAGE (R) 1:15 I 3:45 I 7:20 I 10:05 TOMORROWLAND (PG) 1:00 I 3:55 I 6:50 I 9:45 PITCH PERFECT 2 (PG13) 1:10 I 4:10 I 7:15 I 9:50 POLTERGEIST 3D (PG13) 12:30 I 2:50 2D I 5:10 I 7:30 2D I 10:00 AVENGERS: AGE OF ULTRON (PG13) 3:25 I 9:30 MAD MAX: FURY ROAD (R) 12:40 I 6:45 Mexico’s ruling party poised for win despite dissatisfaction MEXICO CITY (AP) — Mexico’s ruling Institutional Revolutionary Party appears poised to retain its leading position in Congress, but may lose some governor seats in Sunday’s elections. The last polls to be re- leased before Sunday’s mid- term elections show surpris- ingly resilient support for the ruling party known as the PRI, despite Mexicans’ gen- eral dissatisfaction with poli- tics and a lackluster economy. A poll by the GEA-ISA companies suggests the PRI would get about 27 percent of votes for the lower house of Congress, well ahead of its closest competitor, the conservative National Action Party, at 21 percent. The poll had a margin of error of plus or minus 3 percentage points. Findings in the same poll nevertheless showed that 67 percent of the 1,100 people interviewed were dissatis- fied with the way Mexico’s democracy is working, and a general lack of trust in po- litical parties. The PRI may be bene- fiting from a slight uptick in perceptions of the econ- omy’s performance. GDP grew by 2.5 percent in the first quarter of 2015, above the 2014 annual growth rate of 2.1 percent, but still well below the government’s orig- inal predictions of at least 3.2 percent for 2015. A survey by the polling firm BGC also showed the PRI in first place in the con- gressional races, about 6 percentage points ahead of National Action, while a poll by the Buendia & Laredo company placed the PRI’s lead at about 4 percent. The margins of error were plus or minus 2.9 percentage points and plus or minus 3.6 per- centage points, respectively. “In the federal elections, the PRI is going to win,” said Luis Carlos Ugalde, the coun- try’s former top electoral watchdog official. “It means that the economic situation has many people in a good mood, it means that a portion of the population is doing more or less okay.” But, paradoxically, most of the races for governor- ships in nine of Mexico’s 31 states are extremely close, in many cases too close to call. The PRI had long domi- nated most statehouses, and some states have always had PRI governors. “There is an enormous level of competition, and that is very good news,” said Ugalde. In the most closely- watched governorship race, in the northern border state of Nuevo Leon, some polls showed a surprising surge for Jaime Rodriguez, an in- dependent who is running under his nickname, “El Bronco,” to challenge the PRI. A poll by the newspaper El Universal showed Rodriguez neck-and- neck with PRI can- didate Ivonne Alvarez, at 30.1 and 29.1 percent, respec- tively. The poll had a margin of error of plus or minus 3.1 percentage points. Other surveys showed one or the other of the Nuevo Leon candidates with a wider lead. But the surprising thing was that Rodriguez, with no sup- port from any political party, was in the running at all. “Almost nobody thought an independent candidate could win a governorship,” said Jose Antonio Crespo, a professor at Mexico’s Center for Economic Research and Teaching. “So this is a sur- prise, it does set a precedent, and it will be a warning sign for the political parties.” He was referring to widespread distrust of po- litical parties. Only about 9 percent of people in the GEA-ISA poll expressed confidence in them. All parties have been af- fected by that distrust. In the northern state of Sonora, National Action currently holds the governorship. But repeated scandals have put the party’s candidate Javier Gandara in a statistical tie with Claudia Pavlovich, ac- cording to an El Universal poll that had a margin of error of plus or minus 3.1 percentage points. What also remains in doubt is whether the PRI will get enough congressional seats through a complex for- mula of proportional repre- sentation to be able to cobble together a majority with smaller parties. The PRI’s main ally, the Green Party, has been polling between 5 and 9 percent, which isn’t enough to give the PRI a functioning majority. Former presidential spokesman Ruben Aguilar said the PRI appears stuck at a certain level. “The PRI has a hard- core support of 30 percent,” Aguilar said, “which it hasn’t managed to expand, and it isn’t looking farther afield.” The last polls to be released before Sunday’s midterm elections show surprisingly resilient support for the ruling party known as the PRI. Candidate Hipolito Mora speaks with residents on a soccer field as he campaigns for a congressional seat, in Apatzingan, Michoacan state, Mexico. - Photo: AP Judges: Haiti council should reject ex- PM’s candidacy A judicial panel in Haiti has recommended that former Prime Minister Laurent Lamothe be barred from running for president. The panel said late Tuesday that Lamothe failed to receive a govern- ment document certifying that he handled public funds appropriately while prime minister from 2012 until late last year. An adviser to Lamothe, Salim Succar, called the decision “erroneous” and said Wednesday they would appeal. Lamothe is one of about 70 people who reg- istered to seek the presi- dency. The panel of elec- toral judges was asked to review the eligibility of 23 contested would- be candidates. It recom- mended the disqualifica- tion of Lamothe and two others late Tuesday while clearing others to run. Haiti’s electoral council is expected to soon release a final list of candidates for presidential elections expected in October. Lawyer for former Guatemalan dictator shot dead in capital The lawyer representing former dictator Efrain Rios Montt against genocide charges was shot to death Wednesday in the capital, Guatemalan authorities said. Firefighters reported that Francisco Palomo was shot multiple times while driving through a residential neighbor- hood of Guatemala City around midday. There was no imme- diate word on any suspects. Palomo defended Rios Montt in his 2013 trial on charges of genocide and crimes against humanity. Rios Montt was sentenced to 80 years in prison, but that conviction was quickly overturned and a new trial ordered. Earlier this year a re- trial was delayed indefi- nitely after the defense won a motion to have one of the three judges hearing the case recuse herself. Brazil prosecutors charge pair in killing of 8 soccer fans Authorities in Brazil say a policeman and a former police officer have been charged with killing eight people at a fan club of a popular soccer team. A Wednesday state- ment from the Sao Paulo state prosecutor’s of- fice says the two were ar- rested May 7 in connec- tion with the attack at the headquarters of the Pavilhao 9 fan group for the Corinthians team. Police believe a dis- pute over drug dealing may have led to the April 18 shooting on the eve of the team’s match with rival Palmeiras. Witnesses reported that three gunmen stormed the gritty site where fans meet underneath a highway overpass and shot seven people in the head. An eighth man ran to a ser- vice station after being shot but died later. The third gunman is at large. Hurricane Blanca strengthens; no land threat Hurricane Blanca’s winds gained strength, making it a Category 4 hurricane. Hurricane Andres weakened. Neither storm posed a threat to land Wednesday, with no watches or warn- ings in effect. Andres’s maximum sustained winds de- creased to 60 mph. The storm is centered about 1,015 miles west of the southern tip of Mexico’s Baja California penin- sula. It’s moving north- west at 8 mph. Hurricane Blanca had maximum sustained winds of 130 mph, making Blanca a major hurricane classified as Category 4. Blanca is centered about 420 miles south-southwest of Zihuatanejo, Mexico, and is stationary. The National Hurricane Center in Miami said Blanca will strengthen over the next two days. On Thursday, it is expected to moved north-northwest with an increase in speed. Swells are expected to begin affecting Mexico’s coast over the next few days. © 2015, Associated Press RegionAl news RounduPThe islands’ most-trusted news source 3 Cayman Compass • Thursday June 4, 2015 The islands’ most-trusted news source 4 – EDITORIAL – Opinion&Letters The Cayman Compass welcomes comments, opinions and viewpoints from readers. Letters to the editor can be emailed to editor@pinnaclemedialtd.com, submitted via www.caymancompass.com, sent by post or hand-delivered to the Compass office. CIMA chief Scotland must recuse herself from FIFA matters Thursday June 4, 2015 • Cayman COmpass Cindy Scotland, the managing director of the Cayman Islands Monetary Authority, must recuse herself from all matters that come before our country’s financial regulator involving the unfolding FIFA scandal. In the early hours of the morning on Wednesday, May 27, news began to break in the Western Hemi- sphere that more than a dozen world football leaders and businessmen had been formally accused by U.S. authorities of participating in a massive corruption, money laundering and racketeering scheme, some of which allegedly involved Cayman’s financial sector. Just before FIFA’s annual meeting in Zurich, Swit- zerland, seven FIFA officials, including Caymanian Jeffrey Webb — then the head of football in Cayman and the region — were arrested by Swiss police. It took CIMA a full five days to issue a public response on the situation. On Monday, June 1, here’s what the regulator had to say: “The Cayman Islands Monetary Authority (the Authority) is aware of the allegations which have been made by Swiss and U.S. federal authorities regarding a number of officials of the Fédération Internationale de Football Association (FIFA) and a bank regulated by the Authority. “The Authority takes these matters very seriously and in respect of the allegations relating to one of our licensees, we will act appropriately, dispassionately and in accordance with our obligations under the law. “However, at this stage it would be inappropriate and legally impermissible for us to make any further comment or statement on these matters.” Here’s what CIMA did not say: • That CIMA Managing Director Scotland is married to Mark Scotland, a former government sports minister who in 2014 began working for Mr. Webb as youth development director for the Cayman Islands Football Association. • That Mr. Scotland was, in fact, in Zurich with Mr. Webb — as part of the Cayman delegation that also included former tourism minister Cline Glidden, now working for CONCACAF to set up a regional football dispute resolution court, as well as local attorney Bruce Blake, who on Monday night was “promoted” from CIFA first vice president to president, to replace Mr. Webb “on a provisional basis.” The conflict of interest is clear: As long as Mrs. Scotland does not formally step aside, her agency CIMA cannot be expected to investigate “dispassion- ately” allegations and issues that are entangled with the organization her husband Mr. Scotland works for, or his direct business associates. At this point, let us emphasize that there has been no indication whatsoever that Mr. Scotland personally has done anything wrong, or has had knowledge of any wrongdoing by others. He has not been arrested, indicted, charged or even accused of anything. Mr. Scotland, a relative newcomer to CIFA, is as far as anyone knows, as spotless as a newborn lamb. However, in Mrs. Scotland’s line of work, appear- ances really do matter. And, as the journalism aphorism goes, the appearance of a conflict of interest is a conflict of interest. As the regulator of Cayman’s financial services industry — one of the largest in the world — CIMA is by far the most important statutory authority in Cayman. The people running Cayman’s regulatory regime, espe- cially Mrs. Scotland, who has been at the top of CIMA’s organizational chart since 2002, must, therefore, be “as close to God” as possible. The recusal of Mrs. Scotland from FIFA matters isn’t even a close call. She should have made that decision herself, as soon as she heard of the U.S. indictments and arrests in Switzerland. She must make that decision immediately. If she does not, CIMA’s board of directors — chaired by the Cayman government’s former Chief Secretary George McCarthy — should convene immediately and make that recommendation, accordingly, to Cabinet, which ultimately has the power to hire, and fire, the managing director of CIMA. Britain’s EU future in Germany’s hands Mark GilBErt Bloomberg View I was in the audience a few rows in front of British Prime Minister David Cameron when he deliv- ered his seminal 2013 speech pledging a referendum on Britain’s membership in the European Union. At the time, I couldn’t decide whether it was a political master- stroke that would finally quiet Britain’s most strident euro-skeptics, or a suicidal concession to the anti-Euro- pean elements in Cameron’s Conservative Party. I’m still not sure his gamble will pay off. But, now that the British public has ef- fectively endorsed Cameron’s proposal by re-electing him as prime minister, it’s in- creasingly clear that respon- sibility has shifted to his peers on the continent. If European leaders – especially those in Berlin – are serious about wanting Britain to stay in the club, as they claim, they need to find common ground with him on the thorny issue of EU reform. Cameron needs to bring home some bacon to show a skeptical British electorate that EU member- ship pays off, and it’s up to German Chancellor Angela Merkel to ensure he’s not left trying to sell Spam. Cameron isn’t compiling a public shopping list of de- mands, because he doesn’t want to become a hostage to fortune. But two of the re- forms his anti-European col- leagues are baying for – more opportunities for Britain to opt out on issues where it disagrees with Brussels’ di- rectives, plus a cooling-off period before citizens of European member states can claim benefits as working mi- grants in Britain – need to be addressed by the community. To be sure, the sorts of reforms that the United Kingdom seeks aren’t simple tweaks. They will likely re- quire changes to the EU’s foundational treaties, which would require, in turn, rati- fication from each member state. But as Europe’s de facto leader, it’s in Germany’s power to put such treaty changes on the continental agenda. Unfortunately, the smoke signals Berlin has sent so far are mixed at best, and down- right unhelpful at worst. On the optimistic side, Merkel met with Cameron last week and said she shares some of his concerns about migrants and their welfare entitle- ments. “Where there’s a will, there’s a way,” she said. “If one is convinced about the sub- stance, you can’t say a treaty change is a total impossi- bility.” On the pessimistic side, Norbert Roettgen, head of the foreign affairs committee in the German Bundestag said this week that treating all EU citizens identically is sacro- sanct, and that treaty change is an unrealistic aspiration. Germany, though, has much at stake in Cameron’s EU vote, which he has prom- ised by 2017 but which looks increasingly likely to be next year’s business to avoid clashing with German and French elections. As my Bloomberg col- leagues Elisabeth Behrmann and Brian Parkin have pointed out, Britain has been the top export market for German automakers for more than a decade, with about 20 percent of the cars made in Germany, at a value of almost 18 billion euros (US$20 billion), ending up in Britain. (Only the U.S. has a bigger trade deficit with Germany than Britain does.) If Britain is no longer part of Europe’s single market, and thus no longer shares with it a common regula- tory framework, Germany’s exports would undoubtedly take a hit. Cameron seems to have learned the lessons of last year’s Scottish independence referendum, which he almost lost by doing too little, too late. The prime minister has put his top people on the nine- member committee that will handle the EU negotiations, including Chancellor of the Exchequer George Osborne, Home Secretary Theresa May, and Business Secretary Sajid Javid. And his foreign sec- retary, Philip Hammond, seemed sincere Monday when he said a “decent package” of reforms can “get the British people thinking positively about engagement.” Hopefully, the EU has learned a similar lesson from its mishandling of the Greek crisis. As that country rolls ever closer to exiting the euro, it’s clear that making conces- sions earlier in the game could have helped everyone avoid this debacle. Enlightened self- interest, both political and economic, should persuade Germany – and the rest of the EU – to throw Cameron a bone or three to keep Britain in the club. Mark Gilbert is a Bloomberg View columnist and a member of the Bloomberg View editorial board. © 2015, Bloomberg News If Britain is no longer part of Europe’s single market, and thus no longer shares with it a common regulatory framework, Germany’s exports would undoubtedly take a hit. German Chancellor Angela Merkel and British Prime Minister David Cameron shake hands Friday following a meeting in Berlin. - Photo: AP Printed and Published by: Caymanian Compass Limited (a subsidiary of Pinnacle Media Ltd) Compass Centre Shedden Road, George Town send us yOur VieWs Or neWs: P.O. Box 1365 Grand Cayman KY1-1108, Cayman Islands Telephone: (345) 815-0095 Email: newsdesk@pinnaclemedialtd.com adVertise With us: Telephone: (345) 949-5111 Email: sales@pinnaclemedialtd.com Website: www.caymancompass.com PUBLISHERS daVid r. legge and Vicki l. legge EdITOR-In-CHIEf daVid r. legge A MEMBER OF THE INTER-AMERICAN PRESS ASSOCIATION “Give light and the people will find their own way”5 LOCAL NEWS CAYMAN COMPASS • THURSDAY JUNE 4, 2015 BRENT FULLER bfuller@pinnaclemedialtd.com If you’re flying most air- lines out of Grand Cayman and leaving the three-island chain, outbound passenger immigration checks are now a thing of the past. However, Cayman Islands Immigration Department of- ficials said Monday that Cayman Airways passen- gers will still face outbound checks on some flights due to security issues with the air- line’s Advanced Passenger Information System. The matter was raised after East End MLA Arden McLean questioned law- makers during Legislative Assembly Finance Committee proceedings concerning why some passengers were still having to face outbound im- migration checks. “It’s a little complicated,” Premier Alden McLaughlin said in response. In August 2013, following up on a program started by the former United Democratic Party government, the Cayman Islands airport system started a pilot project that sought to eliminate the need for outbound immigra- tion checks for departing pas- sengers. The move would save time for travelers and mean less staffing requirement for immigration officers at Owen Roberts International Airport on Grand Cayman, the gov- ernment said. Acting Chief Immigration Officer Bruce Smith said Cayman was essentially pig- gybacking on an automated passenger pre-screening pro- cess that had been adopted throughout many places in the world, known as APIS or the Advanced Passenger Information System. The APIS allows airlines to do a pre-screen on pas- sengers on flights leaving their jurisdictions to deter- mine, for instance, whether those passengers might be wanted on local arrest war- rants. If that was the case, Mr. Smith said, those par- ticular passengers would be flagged and not allowed to leave the jurisdiction. Mr. Smith said a number of “technical tests” were per- formed to ensure that pas- senger data coming from the airlines was consistent and that information could be ob- tained in time, in case there was a problem. Every single irline coming in and out of Owen Roberts Airport is now par- ticipating in outbound pre- clearance, including some Cayman Airways flights, Mr. Smith said. However, Cayman Airways does not have every desti- nation included in the pre- screening process, he said. “Whilst we were rooting for Cayman Airways to be one of the first [to implement APIS], that didn’t work out,” Mr. Smith said. Once Cayman Airways can provide outbound pre-checks error-free to the standards immigration has established, all CAL flights will be able to eliminate the outbound pas- senger screening process. In cases where they can’t, the manual checks are still used. “Security had to be in the forefront of our mis- sion,” he said. “There was no real room for error.” CAL struggles with outbound immigration checks Trial began May 4 for man charged with killing Special Olympics athlete CAROL WINKER cwinker@pinnaclemedialtd.com Justice Charles Quin is ex- pected to give two rulings on Thursday, June 4, in the trial of Jose Guadalupe Sanchez. Sanchez is charged with murdering Solomon Webster, a Special Olympics athlete, on Sept. 7, 2014, in a yard off Miss Daisy Lane in West Bay. The incident began with a struggle between Sanchez and another man, Shaquille Bush, in which Mr. Webster became involved. He died later that night after a bullet perforated an artery in his thigh. A second charge against Sanchez is possession of an unlicensed firearm – a Colt Commander handgun re- covered in the yard. Trial began on May 4, when Sanchez elected to be tried by judge alone. Director of Public Prosecutions Cheryll Richards called her last witness on May 19. There have been several legal ar- guments since then, some of them closed to the public. This week, defense counsel Mark Heywood argued that there had been an abuse of process – a cumulative series of facts which had the poten- tial to give rise to significant unfairness for which there was no adequate remedy during the trial process. He also argued that there was no case for Sanchez to answer on the charge of murder and Ms. Richards replied. Mr. Heywood previously argued that there was no case to answer on the firearm charge, but Justice Quin dis- missed that submission. Judge to rule Thursday in murder case Cayman Airways passengers will still face outbound checks on some flights due to security issues with the airline’s Advanced Passenger Information System. - PHOTO: NIGEL HOWARTHThe islands’ most-trusted news source 6 Thursday June 4, 2015 • Cayman Compass Happy 1st Birthday Zaire Bonthorne Happy 1st Birthday Zaire Bonthorne governance and compliance related issues on the com- mittee. “I was involved in the review of the draft finan- cials for 2012 and the rec- ommendation that they be approved by the Executive Committee of CONCACAF.” Mr. Sunderji said he left about a year later “due to pres- sure of my work and my in- ability to attend Finance Committee meetings on a reg- ular basis and at short notice.” He has had no connection with CONCACAF since his res- ignation, Mr. Sunderji added. The football confeder- ation’s finance committee continues to be chaired by Horace Burrell, presi- dent of the Jamaica Football Federation and Webb’s busi- ness partner in The Captain’s Bakery in Cayman. Other members of the com- mittee at the time included Webb associate Canover Watson, who was arrested in 2014 on unrelated corrup- tion charges, and Eduardo Li, former president of Costa Rica’s football association and one of 14 defendants in the U.S. corruption probe. According to the bi- ography on his personal LinkedIn account, Webb worked at Fidelity Bank in Cayman for 22 years from 1990 until April 2012, when he was elected CONCACAF president. As business devel- opment manager at the bank he had “an extensive career in developing, managing and di- recting wealth management, investment banking, corpo- rate finance and risk manage- ment, providing leadership and advisement on multiple committees,” Webb’s online profile states “I know Jeff [Webb] as a former employee and more recently as a young man with great potential,” Mr. Sunderji said. “He was the ‘anointed’ successor to Blatter and had a very bright future ahead of him. He carried the nation’s flag very well and his arrest will be a loss to the country.” The U.S. indictment al- leges Webb asked for and in most cases received mil- lions of dollars in bribes in exchange for the award of marketing rights related to CONCACAF Gold Cup and CONMEBOL/CONCACAF Copa America Centenario tournaments, CONCACAF Champions League matches and Caribbean Football Union World Cup qualifiers. In one case, Webb’s at- taché Costas Takkas allegedly solicited a $3 million bribe on behalf of Webb in exchange for the CONCACAF presi- dent’s agreement to cause a contract assigning the mar- keting rights for Caribbean Football Union World Cup qualification matches to be awarded to sports marketing company Traffic USA. According to the indict- ment, part of the bribe was transferred on Nov. 13, 2012 from Traffic International’s account at Delta National Bank & Trust Co. in Miami, Florida, to a correspon- dent account at HSBC bank in Buffalo, New York, for credit to an account held by a front company at HSBC in Hong Kong. One week later, on Nov. 21, the front company wired two payments of $750,000 and $250,000 through a correspondent account at Standard Chartered Bank in New York, to an account held by Kosson Ventures, a com- pany controlled by Takkas, at Fidelity Bank in Cayman. Another $500,000 was paid by Traffic through the account of a business as- sociate of Traffic Group owner Jose Hawilla to “an- other account controlled by the defendant Costas Takkas at Fidelity Bank in the Cayman Islands,” the in- dictment said. The writ claims that Takkas subsequently wired a portion to an account in his name at Citibank in Miami and from there trans- ferred the funds to an ac- count at United Community Bank in Blairsville, Georgia, in the name of a swim- ming pool builder who did work at Webb’s home in Loganville, Georgia. Takkas allegedly trans- ferred another portion of the funds directly from his Kosson Ventures account at Fidelity Bank in the Cayman Islands to SunTrust Bank in Georgia for Webb’s benefit in connection with Webb’s pur- chase of other real estate in Stone Mountain, Georgia. The Links Fidelity Bank and COnCACAF... The money laundering charges allege that in June and July 2012, Mrs. Rodriguez possessed “criminal property” that represented, either directly or indirectly, the benefits of criminal conduct to- taling US$55,000. According to infor- mation obtained by the Compass from a number of sources familiar with the investigation, the first cash payment of $25,000 was collected at Fidelity Bank on Grand Cayman in late June 2012. The cash was taken in an en- velope to local finan- cial services company Admiral Administration and left with Rodriguez, it is alleged. The second payment of US$30,000 came in early July 2012 from a check drawn on an ac- count at Fidelity Bank, the Compass has learned. The check was cashed and, again, an envelope taken to Admiral, where it was left for Rodriguez to handle, it is alleged. The allegation in the charges against Rodriguez is that while working at Admiral Administration, she received cash in en- velopes from “persons in- volved in AIS” and “for- warded it on to a third party without disclosing the same.” The third party referred to, but not named, in court records was not connected with Admiral Administration. AIS – Advanced Information Systems [Cayman] Ltd. – is a company in which Watson had a substantial benefi- cial interest, according to Crown prosecutors, and to which multimillion-dollar healthcare-related con- tracts were awarded while he served as chairman of the Cayman Islands Health Services Authority board of directors. The money laun- dering charges against Watson relate to a total of US$169,000 and cover the period from Dec. 30, 2010 to June 2012. The charges are brought under the Proceeds of Crime Law. He is also charged with failing to disclose a pecuniary in- terest, breach of trust, fraud on the government, and conflict of interest. The charges relate to a period during which Watson approved and signed the contract for the Cayman Islands’ public healthcare patient swipe- card payment system – known as CarePay - and a second contract for a com- puterized pharmaceutical tracking system. The Compass contacted Royal Cayman Islands Police Commissioner David Baines and the office of the Director of Public Prosecutions relative to the investigation this week. Each declined to com- ment on the status of the investigation. The Compass also con- tacted Fidelity Bank Managing Director Brett Hill in September 2014 with a number of questions regarding the CarePay in- vestigation and, to date, he has not responded. Follow-up questions sent to representatives of Fidelity Bank on Wednesday indi- cated that Mr. Hill was not on island. Fidelity Bank in the Cayman Islands was named last week in U.S. federal court indictments as having been involved in two separate transactions relating to bribe payments funneled to FIFA officials in exchange for those of- ficials giving certain sports marketing compa- nies the commercial rights to football tournaments. Cayman’s Jeffrey Webb, who is alleged to have re- ceived millions of dollars in those bribes, worked at Fidelity until 2012, when he became the president of CONCACAF (FIFA’s re- gional governing body for the Caribbean and North and Central America). The bank’s parent com- pany, Fidelity Group, said in a statement Tuesday that it had called in external experts to assist with the review of the transactions referred to in the indict- ment. Fidelity Group CEO Anwer Sunderji said in the statement: “Licensed insti- tutions are required to re- port suspicious activity and we are satisfied that the bank discharged its duty with respect to the specific transactions. The bank is not aware of any allegations against it, but has been cooperating in full accordance with its re- sponsibilities with regula- tors and other government authorities, and will con- tinue to do so.” Premier Alden McLaughlin issued a state- ment Wednesday that indi- cated Cayman would take a “zero tolerance approach” to criminal activity in the Cayman Islands. ...and in the CarePay case CONTINUED FROM PAGE 1 The COnCACAF Finance Committee when it was formed in December 2012. CONTINUED FROM PAGE 1 The finance committee was formed at the behest of Webb in December 2012 to focus on monitoring and oversight of the confederation’s financial management. Canover Watson faces 10 charges in Cayman Islands Grand Court for which he is due to stand trial in November.The islands’ most-trusted news source 7 Cayman Compass • Thursday June 4, 2015 ENTER online at caymancompass.com/competitions TERMS AND CONDITIONS APPLY. Must be 18 or older to enter. Deadline: noon Thursday June 11, 2015 Enter to WIN 2 FREE Entries to the Flowers Sea Swim. 2015 Pick your swim! June 15, 2015 Flowers International 5k & 10k Swims June 13, 2015 Flowers One Mile Sea Swim with global, and in partic- ular, U.S. authorities and there is no doubt that we have and will continue to fully assist in the investi- gation and ultimate conclu- sion of these matters.” Mr. McLaughlin said government had been monitoring developments since the arrest of Jeffrey Webb along with other FIFA officials, including former Cayman Islands resident Costas Takkas, in Switzerland last week. Webb is one of 14 busi- nessmen and sports mar- keting executives accused of negotiating bribes in return for television and media rights for interna- tional football tournaments. “This was sad news for the sport of football, Mr. Webb’s family and the Cayman Islands,” said Mr. McLaughlin. He added that government would not com- ment on ongoing investiga- tions “in this jurisdiction or elsewhere,” saying it was a matter for law enforcement and ultimately the courts. “We are confident that justice will, in the end, be served,” he added. The FIFA investigation has put a global spotlight on Cayman’s financial industry. Mr. McLaughlin insisted, “The Cayman Islands has a reputation for en- gagement and achieve- ment of very robust global standards in relation to the regulation of domestic and cross-border financial transactions. Our excellent ratings from assessments by the Global Forum and the Financial Action Task Force certainly demon- strate this.” Premier: ‘Zero tolerance’ Blatter back at work at FIFA headquarters amid crisis ZURICH (AP) — A day after announcing his decision to resign, Sepp Blatter was back at work at FIFA head- quarters on Wednesday as the worst corruption crisis in the governing body’s 111-year history con- tinued to unfold. Interpol added six men with ties to FIFA to its most wanted list, while South African officials denied they made a $10 million bribe to secure the 2010 World Cup. Blatter spoke to FIFA staff for about 10 minutes on Wednesday morning, re- turning to the same audito- rium where he delivered his resignation speech a day ear- lier. Staff described him as being emotional, and said he received a standing ovation. Elsewhere, Interpol got involved. The international police force, based in Lyon, France, issued an alert for two former FIFA offi- cials and four executives on charges including racke- teering and corruption. Two of the men, former FIFA vice president Jack Warner of Trinidad and Tobago and former executive committee member Nicolas Leoz of Paraguay, have been arrested in their home coun- ties. Warner has since been released and Leoz is under house arrest. The Interpol “red notice” means they risk arrest anywhere they travel. In South Africa, Sports Minister Fikile Mbalula said the government wanted to “categorically deny” that the country paid any bribes to win the right to host the 2010 tournament. Mbalula characterized the $10 million as an “above- board payment” to help soccer development in the Caribbean region. The money, which went into a fund controlled by Warner, is part of the U.S. in- vestigation into soccer cor- ruption. That probe led to the arrest of seven soccer officials in Zurich last week, kicking off the FIFA scandal and eventually leading to Blatter’s decision to step down. Warner and Leoz were among 14 people indicted in the U.S. as part of the federal investigation. U.S. Attorney General Loretta Lynch, speaking in Latvia on Wednesday at a meeting with EU justice ministers, declined to com- ment on Blatter’s resignation or whether he was himself under investigation. “It’s an open case and so we will now be speaking through the courts,” Lynch said. In a separate probe, Swiss authorities have opened a criminal investigation re- lated to the 2018 and 2022 World Cup bidding contests. Russia won the right to host the 2018 tournament and Qatar was awarded the 2022 World Cup. The Swiss attorney gen- eral’s office said Blatter was not under investigation, but said it has opened crim- inal proceedings against “persons unknown” for money-laundering. In Moscow, President Vladimir Putin’s spokesman, Dmitry Peskov, said Blatter’s announcement hasn’t af- fected the country’s plans to host the tournament. Blatter said Tuesday he would remain president until a new election can be set up, which FIFA said could be sometime between December and March. But Prince Ali Bin Al- Hussein, who lost to Blatter in Friday’s election, is looking into whether he should be in line to replace Blatter without going to an- other vote. The Jordanian Football Association said it is studying FIFA rules to see whether they allow for the possibility. In South Korea, former FIFA vice president Chung Mong-joon said at a news conference that he will think about whether to run. UEFA president Michel Platini is considered a likely candidate. Premier Alden McLaughlin CONTINUED FROM PAGE 1 FIFA executive committee member Blazer admitted bribes NEW YORK (AP) — Former FIFA executive committee member Chuck Blazer told a U.S. federal judge that he and others on the governing body’s ruling panel agreed to receive bribes in the votes for the hosts of the 1998 and 2010 World Cups. Prosecutors unsealed a 40- page transcript Wednesday of the hearing in U.S. District Court on Nov. 25, 2013, when Blazer pleaded guilty to rack- eteering and other charges. Four sections of the tran- script were redacted by prosecutors, presumably to protect avenues of their investigation. Blazer, in admitting 10 counts of illegal conduct, told the court of his conduct sur- rounding the vote that made South Africa the first nation on that continent to host soc- cer’s premier event. “Beginning in or around 2004 and continuing through 2011, I and others on the FIFA executive committee agreed to accept bribes in conjunc- tion with the selection of South Africa as the host na- tion for the 2010 World Cup,” Blazer told U.S. District Judge Raymond J. Dearie. Blazer was the No. 2 of- ficial of soccer’s North and Central American and Caribbean region from 1990- 2011 and served on FIFA’s executive committee from 1997-2013. South Africa defeated Morocco 14-10 in the host vote. South African Football Association president Molefi Oliphant sent a letter to FIFA secretary general Jerome Valcke in 2008 asking FIFA to withhold $10 mil- lion from the budget of the 2010 World Cup organizers and to use the money to fi- nance a “Diaspora Legacy Programme” under the con- trol of then CONCACAF President Jack Warner. South Africa Sports Minister Fikile Mbalula denies the money was a bribe and says it was an “aboveboard payment” to help soccer development in Caribbean region. Blazer also said he was in- volved in bribes around 1992 in the vote for the 1998 World Cup host, won by France over Morocco 12-7. Warner was among 14 soccer officials and busi- nessmen named in an indict- ment announced last week, and those charges said a Moroccan bid representative offered a $1 million bid pay- ment. Blazer, whose guilty plea was made public last week, said he agreed with others “to facilitate the accep- tance of a bribe.” He also admitted to corruption involving the CONCACAF Gold Cup, the region’s top national team tournament which he helped launch in 1991. “Beginning in or about 1993 and continuing through the early 2000s, I and others agreed to accept bribes and kickbacks in conjunction with the broadcast and other rights to the 1996, 1998, 2000, 2002 and 2003 Gold Cups,” Blazer said. Chuck Blazer attends a press conference in Frankfurt, Germany in 2005. - Photo: APThe islands’ most-trusted news source 8 Thursday June 4, 2015 • Cayman Compass For decades Baha’is have been imprisoned in Iran Mrs. Fariba Kamalabadi, 52, is a developmental psychologist and mother of three who was denied the chance to study at a public university as a youth because of her Baha’i belief. Before her current incarceration, she had been arrested twice before, and was held for periods of one and two months respectively, all due to her volunteer work for the Baha’i community. Mrs. Kamalabadi was born in Tehran on 12 September 1962. An excellent student, she graduated from high school with honors but was nevertheless barred from attending university. Instead, in her mid-30s, she embarked on an eight-year period of informal study and ultimately received an advanced degree in developmental psychology from the Baha’i Institute of Higher Education (BIHE), an alternative institution established by the Baha’i community of Iran to provide higher education for its young people. Mrs. Kamalabadi married fellow Baha’i Ruhollah Tae in 1982. They have three children, the youngest of whom was only 13 when she was arrested in 2008. Mrs. Kamalabadi’s experience with persecution extends beyond her immediate situation. Her father was red from his job as physician in the government health service in the 1980s because he was a Baha’i, and he was later imprisoned and tortured. Here is the second of seven stories, remembering seven years in prison For further information, contact The Regional Baha’i Council at 949-3435/916-4130 or email: bevndale@candw.ky Some schools were closed around lunchtime, in- cluding University College of the Cayman Islands, Edna Moyle Primary, Savannah Primary and Clifton Hunter High School. Meanwhile, in the wake of reports of stalled vehi- cles in George Town, po- lice asked motorists to stay off the roads unless ab- solutely necessary. Boat operators were urged to take cautions when oper- ating on open waters, since wind gusts will make the seas rough. On Grand Cayman, Airport Operations Team recorded no flight delays or cancellations. The runway is clear and there were no issues with flooding, said Kafara Augustine, busi- ness development and mar- keting manger at the Cayman Island Airports Authority. The National Weather Service said the rainy weather is stemming from interaction between a surface trough over the western Caribbean and an upper lever trough over the Gulf of Mexico. Radar images indicate that some of the showers are heavy and are accom- panied by some thunder. The showers are slowly traveling toward the east- northeast and are expected to linger over the Cayman area through the next few days, according to Weather Service information. Humane Society Some 57 dogs and pup- pies and 35 cats and a few kitten were also flushed out of their home by the rain and the Cayman Islands Humane Society shelter was flooded. A plea is on Facebook seeking temporary adoption for the animals until the shelter is functioning again. The shelter will provide food and water, but they need shelter for the animals, a spokesman said. Mosquitoes Usually, there are lots of mosquitoes after heavy rains, but Mosquito Research and Control Unit Assistant Director Alan Wheeler said they just finished 10 days of aerial treatment last week, so that should keep a lot of mosquitoes coming off the swamps. The best way to con- trol mosquitoes, he said, is to empty any containers in the yard that are filled with water. “They do not fly very far, so if you control your own yard, you will reduce your chances of getting any of the diseases,” Mr. Wheeler said. Sister Islands. The Sister Islands have not had significant rain ac- cumulation, but the forecast for the next few days calls for the system to drift to- ward them. This will increase the chance of flooding in low- lying areas, Weather Service authorities cautioned. In Little Cayman, District Officer Roger Scott said there had been lots of rain since Monday, but not much flooding. He said one flight was delayed. On Cayman Brac, Airport Manager Miguel Martin said the rain was having min- imal effect on flights, with only one flight delayed. Brac weather observer Winston Gall said it started raining at 7 a.m. Tuesday and it was still raining on Wednesday afternoon. There was no re- cord of flooding, only pockets of water on the roads, he said. Heavy rains pound Cayman Westbound drivers on Shamrock Road in Savannah on Wednesday afternoon use the outbound lanes to skirt water in the middle of the road. Drivers heading eastbound were forced to drive on the shoulder. - Photo: Brent Fuller CONTINUED FROM PAGE 1 This swampy area off Selkirk Drive was inundated. - Photo: Charles DunCan Bus Carrying italian tourists ColliDes with truCk, killing 3 TOBYHANNA, Pa. (AP) — A charter bus taking Italian tourists to Niagara Falls col- lided with a tractor-trailer Wednesday morning on an eastern Pennsylvania highway, killing the bus driver and two others on the bus and leaving four people in critical condi- tion, authorities said. The crash occurred on Interstate 380 in the Pocono Mountain region as the bus, which departed from New York, was about a quarter of the way to its first destination. The mangled front end of the bus was upright on the highway but wedged into the side of the tractor-trailer, which was sheared in half. The cab of the truck came to rest on its side in the woods next to the road, one of its axles torn off. It appeared from a wide swath of grass scraped away in the median that the tractor- trailer was southbound when it crossed over the divided highway and into the path of the northbound bus. State police said a second tractor- trailer was involved but they were still investigating what led to the accident. Monroe County cor- oner Robert Allen, who con- firmed the three deaths, said there were 17 people aboard the bus. Italian tour operator Viaggidea said there were only 16: 14 passengers, a tour guide and a driver. The bus owner, Academy Bus, identified its driver as one of the three dead. It said the driver had more than a decade of experience with the company, but it de- clined to comment further. More than a dozen people were injured and taken to hospitals, where most were being treated for mild to mod- erate injuries. Allen said the truck driver didn’t appear to have been severely injured. A portion of Selkirk Drive at Crystal Rock condos was nearly impassable. - Photo: Charles DunCan9 REGIONAL Cayman Compass • Thursday June 4, 2015 The Cayman Islands Energy Summit 2015 Location: George Town town hall, Tonight! Aruba is an Island not far from us, here in the Caribbean. It has a land area approximately the same size as Grand Cayman, and has a population of 110,000 people. Five years ago Aruba invested 300 million U.S. dollars to recon gure their energy mix. This included taking on 30 Mega Watts of renewable Energy. Aruba has been able to pay of that investment already. At that time 30 MW represented 15% of their energy mix. The Aruban goverment works closely with the power generating and distribution companies, which have been able to seamlessly intergrate this alternative power onto the electrical grid. Aruba has set itself the target to be on 100% cheap renewable energy by 2020. Last year, having already paid o its initial investment, Aruba has, so far, been able to reduce the price of electricity by 25% and the price of water by 30%. That’s crazy. Last year I published a “Ten year plan to Energy Independence”, that I believe, if executed, will show even better results than have been seen in Aruba. Come out to the Town Hall Meeting tonight at 6 pm where all the players will be represented, and hear what plans are been made to reduce our utility costs here in Cayman. Have your questions ready! See you there! Mark Hennings 916-7332 markhennings@hotmail.com MIAMI (AP) — The teenage son of a senior Canadian diplomat is a risk of fleeing prosecution in South Florida for his role in an al- leged drug-related shootout and will not be released on bail before trial, a judge ruled Wednesday. Circuit Judge Teresa Mary Pooler rejected the attempt by defense attorneys to gain release for 15-year-old Marc Wabafiyebazu, the son of Canadian consul general to Miami Roxanne Dube. The mother had assured Pooler her son would stay in the U.S. and show up for all hear- ings, but Pooler said it would be too easy for him to flee to Canada possibly by simply driving there. Pooler also said Canada would not extra- dite Wabafiyebazu because it does not recognize the crime of felony murder in circumstances such as his and because of his youth. In Florida, a person can be charged with murder, in- cluding a minor teenager, if someone is killed during the commission of another felony crime such as a robbery. “It seems to me it is highly unlikely that the United States would ever be able to bring him back,” Pooler said. Wabafiyebazu is charged as an adult in the March 30 shootout that killed his older brother, 18-year-old Jean, and 17-year-old Joshua Wright. Police say the slayings hap- pened after the Wabafiyebazu brothers tried to rob mari- juana dealers, with Wright and Jean Wabafiyebazu shooting each other. Marc Wabafiyebazu has pleaded not guilty. His mother says she is con- vinced he is innocent and had insisted she would en- sure he remained in the U.S. if released. The boy’s par- ents are divorced and his fa- ther lives in Ottawa, Canada. Under Florida law, people charged with serious crimes such as murder are kept in custody without bond unless they can per- suade a judge to release them. Wabafiyebazu’s attor- neys sought to show during a two-day hearing last week that the boy was simply following along with his brother and played no ac- tive role in the robbery at- tempt or shootings. But Assistant State Attorney Marie Mato said Wabafiyebazu was the lookout and possible get- away driver, despite his youth, and was fully aware of what was to happen. “His role in this en- counter is to assist his brother in this,” Mato said. Pooler noted that Dube testified last week that she was unaware her sons were often not in school, that they seemed to have ready access to large amounts of cash and that they had bor- rowed her BMW car with its diplomatic plates the day of the killings. “She was not aware of the amount of time they skipped school,” Pooler said. “She did not know where they obtained guns.” No bail for Canadian diplomat’s teen son Four accused of roles in insider trading scheme AttendAnce increAses At theme pArks (AP) — Federal prosecu- tors in New Jersey say the owner of a stock trading op- eration and three other men were involved in a multiyear insider trading scheme that netted more than $3.2 mil- lion in illicit profits, The four men arrested Wednesday in California, Florida and New Jersey are accused of using information that was not publicly avail- able to buy and sell stocks traded on both the New York Stock Exchange and NASDAQ from 2010 to 2012. Steven Fishoff, a 58-year-old Westlake Village, California resident who operated the trading entity Featherwood Capital out of his home, was charged with four counts of securities fraud and one count of conspiracy. The three other defen- dants – 54-year-old Steven Costantin of Farmingdale, New Jersey, who is Fishoff’s brother-in-law; Ronald Chernin, a 66-year-old dis- barred lawyer from Oak Park, California, and 53-year-old Paul Petrello, of Boca Raton, Florida – also face conspiracy and securities fraud charges. All four were due to make court appearances in their respective states on Wednesday. It was not known if any of them had retained attorneys. Each man faces several years in prison if convicted. “The defendants and their associates were entrusted with confidential, nonpublic information about companies, and, time and time again, they allegedly violated that trust by illegally trading the companies’ stock for sub- stantial profits,” said Paul Fishman, the U.S. Attorney for New Jersey. “They alleg- edly rigged the game so they would always win, and their profits came at the expense of legitimate investors, who were not privy to this inside information.” ORLANDO, Fla. (AP) — Attendance increased at all but two of Florida’s theme parks last year. The Themed Entertainment Association released a new report Wednesday. Five of Florida’s parks were ranked in the Top 25 worldwide. Disney’s Magic Kingdom had the highest attendance at 19.33 million in 2014, up 4 percent from 18.59 mil- lion in 2013. Sister parks Epcot, Animal Kingdom and Hollywood Studios all showed 2 percent increases. Universal Studios showed the largest increase of all Florida parks, rising 17 per- cent to 8.26 million visitors last year. Universal’s Islands of Adventure showed no change from just over 8.1 mil- lion visitors in 2013. Busch Gardens in Tampa increased 1 percent to 4.12 million. SeaWorld Orlando’s at- tendance fell 8 percent from 5.09 million in 2013 to 4.68 million last year. Revenue and attendance have de- clined there since the re- lease of the critical docu- mentary “Blackfish.”Next >