Cayman Weekender Ed ‘Solly’ Solomon Editorial | pagE 4 Eric Bush: Our man in LOndOn eSTaBLISHed 1965 www.caymancompass.com – 75 CENTS – Friday FEBruary 5, 2016 Premier mocks BBC documentary aLan marKOFF amarkoff@pinnaclemedialtd.com Premier Alden McLaughlin spoke at length Thursday for the first time about the BBC documentary “Britain’s Trillion Pound Island,” which aired on Jan. 21, mocking the journalistic effort and saying that its host willfully missed the point. Mr. McLaughlin made the com- ments during a speech at the opening of the Cayman Alternative Investment Summit at The Ritz- Carlton, Grand Cayman. He com- mended financial services industry professionals in attendance for their innovative investment approaches that deliver value and balance risk in an environment of uncertainty in traditional markets. “I am delighted that Cayman is central to the story of some of your success,” he said. “It is a shame, then, that there are those who wish to shut us down.” He then went on to criticize sev- eral aspects of the BBC documen- tary – in which he also appeared as an interviewee – and journalist Jacques Peretti’s purported “inves- tigative deep dive into this most se- cretive of societies.” “What did he find?” Mr. McLaughlin asked. “Well, in a tri- umph of investigative journalism, Mr. Peretti revealed that there are some rich people living on the is- land. Lots of them have boats. Some of them have expensive cars …. Who knew? We thank him for that insight.” After laughter from the audi- ence, Mr. McLaughlin sarcastically noted the Mr. Peretti moved into “true Woodward and Bernstein ter- ritory” in following the money to get his big reveal. “Apparently, much of the wealth CarePay trial: canover Watson guilty on 5 criminal charges Not guilty on 6th charge, money laundering BrEnt FuLLEr bfuller@pinnaclemedialtd.com A Cayman Islands Grand Court jury found Canover Watson guilty Thursday on five of the six criminal charges against him, following a two-month trial. The unanimous verdict of the seven-person jury was reached in two stages Thursday af- ternoon, with jurors first finding Watson guilty of four charges around 2:30 p.m., then resuming deliberations and pronouncing their verdict on the other two charges around 4 p.m. The five counts on which Watson, 45, was found guilty included two charges of con- spiracy to defraud, one charge of fraud on the government, one charge of conflict of in- terest and one charge of breach of trust by a public official. The lone not guilty verdict was reached on charges of transferring criminal property [money laundering]. Watson was remanded in custody fol- lowing the announcement of the final verdict Thursday afternoon. He was placed in hand- cuffs and led from the courtroom by Royal Cayman Islands Police officers, then taken across the street to the main court house. Grand Court Justice Michael Mettyear scheduled sentencing in the case for 10:30 a.m. Friday. PLEASE TURN TO PAGE 8 » PLEASE TURN TO PAGE 8 » Pelican’s Reef Great food with a killer view and no big bill B6 Super Bowl 50 The Broncos take on the Panthers this Sunday B9 Beauty Sports Dining Mardi Gras DJ Pauly D will be pumping up the music downtown B7 ■music Ed ‘Solly’ Rhythmic icon wins award B3 Halo Spa Aveda signature treatments are now available in Cayman B4 Friday February 5, 2016 • Cayman Compass Mardi Gras J Pauly D will be pumping e music downtown Solomon Photo: Stephen Clarke High of 84 Low of 75 Slight to moderate with wave heights of 2 to 4 feet. Canover Watson is led from court at Kirk House to the law courts building downtown. He was later transferred to Northward Prison on thursday after being found guilty of five counts of corruption-related charges. – PHOTO: MATT LAMERS2 LOCAL&REGIONAL the people around me and the people who know me best,” she said. “The real tennis fans know my accomplishments and people who don’t know much about tennis just know the name. “It is never really in my thoughts to leave some kind of legacy other than to be a good person, a good friend and family member.” Kournikova was by any measure a prodigy. She started playing tennis in Russia at age 4 and was recruited into a Nick Bollettieri Florida academy at age 9 before turning pro at 15, reaching the fourth round of the U.S. Open in her first Grand Slam tournament. But after a series of struggles with injury, her career was brought to a premature end in 2003. “It was very strange back then to have to stop at such a young age. It was a good thing because I was so excited at the many other things I was able to explore, but it was definitely strange in a sad way. “Tennis was what I had al- ways wanted to do and the only thing I knew how to do for real. That’s life and things happen. I was fortunate enough to have people I love and trust around me during that period. “I have no regrets, every- thing turned out good. I have had my ups and downs, but life is great.” Kournikova and the other stars will be involved in clinics with sponsors and junior players over the weekend. For youngsters coming into the game, she says the key to success is an almost single- minded focus. “Hard work, dedication, sacrifice, commitment, you’ve got to love it, you’ve got to be a little bit obsessed even. You have to enjoy it because it is going to take over your life and it should if you want to suc- ceed. You don’t really have a balance or time for much else.” Going professional is not realistic or even the main goal for most people, but there are plenty of other reasons to get on the court and play. “Tennis and sports in gen- eral gives you so many other things,” Kournikova said. “It cre- ates a sense of belonging and gives you a new circle of friends. It’s a great way to stay healthy, and it is fun.” She may have lost that pure focus in retirement, but she will never lose her love of the game. “I don’t know that I am ob- sessed with it anymore. I am really into pilates, yoga and running with my dog, but I do love playing when I get the chance. It’s something I’ve done my whole life so it comes naturally, like brushing my teeth.” General Admission tickets are $75 each and are on sale at the Discovery Centre in Camana Bay or through Blackbeard’s outlets across the island. VIP tickets are $250 for standing or $350 for seated and can be purchased via emailing info@legendscayman.com. Friday February 5, 2016 • Cayman Compass For FAT TUESDAY & MARDI GRAS... A Meal Deal 945-2290 • West Shore Center, Seven Mile Beach • 10am to 10pm Eat-in!Take-out! • 1 whole rotisserie chicken • 2 pints Of Cajun rice • Rhum & raisin bread pudding • 1 liter of soda $19.95 Harpist Extraordinaire Eugenio Leon Serenades Tableside Tonight Friday and every Friday! TOMORROW Saturday, Feb. 6th Barefoot Man and Sea N’B Starting Live at 8:00pm Or come to our beautiful Oceanside Bar and listen to the Sweet Sounds of Barefoot Man TONIGHT! Friday Happy Hour 5pm-7pm Come for Dinner Stay for Dancing Call 949-2231 or email: thewharf@candw.ky Airport evacuated amid fire scare James Whittaker jwhittaker@pinnaclemedialtd.com The Owen Roberts International Airport was evacuated Wednesday after- noon after smoke was spotted in the construction area next to the terminal. The smoke is believed to have resulted from smol- dering insulation mate- rial during steel work for the construction project. Contractor Arch and Godfrey is in the midst of the first phase of construction on the multiyear project to ex- pand the airport. The contractor’s designated fire watchman stopped the steel work and two fire extin- guishers were used to smother the insulation after the smoke was spotted, according to a statement from the Cayman Islands Airports Authority. The fire service arrived on the scene shortly after. No damage was reported during the incident and the all-clear was given just before 2 p.m., just over an hour after the first reports of smoke. The CIAA said in a state- ment, “The construction team’s response was in accordance with the CIAA’s work safety plan and hot works permit which includes having fire ex- tinguishers near the hot works area as well as a designated fire watchman to monitor the works. The CIAA also met its safety requirement to have the airport evacuated within five minutes of any incident. The Airports Authority would like to thank their customers and airport partners for their pa- tience and apologize for any inconvenience caused.” tennis star kournikova ready for Legends showdown James Whittaker jwhittaker@pinnaclemedialtd.com More than a decade after she retired from competitive tennis, Anna Kournikova is still one of the most recognizable faces in the game. Known for her beauty and off-court celebrity as well as her on-court ex- ploits, the Russian super- star will be one of the main draws at the Legends tennis tournament starting Friday evening at Camana Bay. “I’m so excited. I’ve been playing four times a week in the buildup,” said the 34-year-old, who will feature alongside former Grand Slam winners Andy Roddick and Jim Courier in a star-studded lineup for the event. “I don’t do many of these type of tournaments, so I can’t wait,” she said. These days, Kournikova, a teen prodigy who reached the Wimbledon semifinals at age 16 but was forced out of professional compe- tition through injury at 21, plays mainly for fun. “It is nice just to play with your friends and family and do the occasional ex- hibition,” she told the Cayman Compass. “I have a bunch of family members who play, it is not like we play for real, it is more to have fun and enjoy.” She does not have to look too far for a competi- tive match and occasionally hits with her pop-star boy- friend Enrique Iglesias at their Florida home. “He played as a kid growing up in Florida. He is naturally very good. He beats me occasionally,” she admitted. The Legends tour- nament, also involving former U.S. Open finalist Mark Philippoussis, trick shot specialist Mansour Bahrami, and Ashley Harkleroad, is mostly for fun. But Kournikova be- lieves the competitive spirit will come out on the court. “We all take it seriously, nobody ever wants to lose,” she said. “It is about who wins on that day, and once the match is over we are all friends and the boys will have a beer together.” During her brief career, Kournikova, became one of the most photographed women on the planet. With endorsement con- tracts on everything from tennis clothes to sports bras and luxury watches, she achieved a level of fame that transcended tennis. On court she was con- sistently ranked in the world’s top 10 and won three doubles titles with her partner Martina Hingis. Though she has been dubbed a legend, at 34, ahead of Friday’s tourna- ment, she says she does not spend too much time thinking about how she will be remembered. “For me, it is more about Anna Kournikova returns to the Camana Bay court this weekend for the Legends tournament. – PHOTO: JAMES WHITTAKER FlORIdA SuRFER vAnISHES FROM bEAcH In dOMInIcAn REPublIc SANTO DOMINGO, Dominican Republic (AP) – Authorities in the Dominican Republic said Thursday that they are looking for a South Florida tourist who apparently van- ished from a beach popular with surfers. Police said 46-year- old tennis coach Darryl Fornatora of West Palm Beach was last seen Jan. 27 at El Encuentro beach in the popular tourist area of Cabarete in the country’s north coast. They said he ar- rived with a friend on Jan. 25 to surf and planned to re- turn home on Jan. 31. Police Sgt. Rosario, who declined to give his first name because he was not au- thorized to talk to the media, told The Associated Press that Fornatora was seen get- ting out of the water, but that it is still possible he might have had some water- related accident. The friend, who was not identified, told Fornatora’s father that he lost sight of Darryl while they were in- side a surf shop Wednesday between 2 p.m. and 3 p.m. Fornatora texted his mother Tuesday, the last time his parents heard from him, the Palm Beach Post reported. Rosario said authorities have flown across the area as well as used search dogs on land. He said interviews with employees of nearby bars and restaurants have not yielded anything.The islands’ most-trusted news source 3 Cayman Compass • Friday February 5, 2016 Sweet deals for Valentine’s Day Get it in store today or visit discoverfl ow.ky Conditions apply Postpaid FREE Prepaid $109 Get the Alcatel Pop 3 for as low as... with 1GB dataThe 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. 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 findtheirownway” Friday February 5, 2016 • Cayman COmpass “Bittersweet” is how Premier Alden McLaughlin described the news that Home Affairs Chief Officer Eric Bush will soon depart the Cayman Islands for the United Kingdom, where he will lead our government’s London office. We think the premier’s choice of adjective to be most appropriate. Mr. Bush’s absence from the on-island civil service will be keenly felt, yet the London posting, in our opinion, presents a considerable opportunity for Mr. Bush, personally and professionally — and also for our country. During his tenure as chief officer, Mr. Bush has repeat- edly demonstrated the qualities of toughness, fairness and openness. He is a reform-minded individual who has stepped on plenty of toes during his worthy quest to improve the quality of the civil service — through promo- tions and subtractions. On top of that, he is personable, has an understanding of the media’s role in informing the public, and is adept at making that crucial “good first impression.” Those are characteristics that Mr. Bush will have to call on when he officially takes up his appointment this July. As Deputy Governor Franz Manderson rightly stated in Thursday’s news story, the importance of the London office should not be underestimated — particularly as Cayman faces increasing pressure from Europe and the U.K. on a myriad of measures, from same-sex marriage, to financial blacklists, to centralized beneficial ownership registries. Our advice to Mr. Bush is that Task One on Day One be a thorough evaluation of the London office staff. The international humiliation caused by two staffers several years ago, when they led a six-month revolt against their boss Lord Blencathra (a mutiny ultimately put down by Mr. Bush in July 2013), has left the reputation of the London office in ruins. The rude and crude emails dis- seminated by that pair of unprofessional underlings (still employed in that office, bafflingly) are enough to give any new manager pause. We commend Lord Blencathra (formerly David MacLean of Scotland) for persevering with dignity and aplomb through that shameful debacle, while repre- senting our country to the utmost of his considerable talents. In the time he was lobbying on behalf of Cayman, political enemies were attacking him from the front, and the very people he was trying to defend thanked him by pressing cold, sharpened steel against his back. To use words uttered by the head of the U.K. Overseas Territo- ries Association, “It is embarrassing.” Similar to Lord Blencathra, Mr. Bush possesses far more class than crass. Although we have not spotted him at any of Ariane Dart’s famous annual tea parties, we suspect Mr. Bush has the ability to handle a cup and saucer with the best of them. If he requires any training in that area, we suggest he ring Governor Helen Kilpatrick; surely she can quickly bring him up to Earl Grey standards. While they’re chatting, perhaps Governor Kilpatrick can also give him some pointers on diplomacy, and share connections she has with the U.K. Home and Foreign & Commonwealth Offices. (Hypothetical words of wisdom on media relations, drawn from Governor Kilpatrick’s experience: “Stay away from the BBC. Stick with the Financial Times.”) Mr. Bush won’t be stepping into the role of Cayman’s lobbyist to the British Parliament, but he will be the public face of Cayman in our Mother Country, and will be the closest thing our territory has to an ambassador. We can think of few people — actually, no others immediately come to mind — who are better suited than Mr. Bush for this vital role. He has our full confidence. We wish him the best. Godspeed, and farewell. Eric Bush: Our man in London LEttEr tO thE EditOr Against an early election An early election will do two things: 1. It will hurt the Cayman Islands locally and in- ternationally and show signs of some instability. 2. It may mean that the single-member con- stituency (one person, one vote) will be de- layed for another four years if that system cannot be implemented for the early election. The Progressives mani- festo commits them to im- plement the single-member constituency before the next election. They should not do anything which will delay it. The Progressives still have 10 members and can still run the country. Five members of the Legislative Assembly have said that they are against an early election. The 1988 to 1992 gov- ernment started with four Ministers, three official mem- bers and five backbenchers. Within about two years there were eight backbenchers which were together, and the government only had four out of 12 elected members and had lost the majority in the LA. One member of the 12 MLAs could be a swing vote in the LA. However for about two years our group of seven and sometimes eight MLAs worked with the government and refused to remove the government because it would hurt the Cayman Islands and its people. We put the Cayman Islands before ourselves. It is the duty of the Progressives government, the independents and the Opposition members to put country before self and con- tinue the stability of Cayman in the best interests of Caymanians and residents by avoiding an early election. Truman Bodden John mcLean ‘Fighting Zika will not be easy’ The New York Times ediTorial Board The World Health Organization and its director general, Dr. Margaret Chan, were right to declare the Zika virus an international public health emergency, even if its suspected link to severe birth defects has not been proved. The mosquito-borne disease is a serious threat: It is usu- ally so mild as to be unde- tectable in adults, yet as it has exploded across South and Central America it has been followed by a surge in babies born with underde- veloped heads, a condition called microcephaly. The emergency designa- tion will galvanize coordi- nated international moni- toring and action of the sort that was tragically missing in the first months of the Ebola pandemic. The W.H.O.’s decision, however, could re- duce travel to affected coun- tries, which would be an eco- nomic burden. Brazil, where Zika made its first major ap- pearance in the Western Hemisphere last May, is es- pecially fearful that visi- tors will stay away from the Olympic Games in August. It cannot let that prevent it from being completely trans- parent about this serious threat and the steps it is taking to protect people. In Latin America, where many nations outlaw abor- tion, some governments have advised that pregnan- cies be delayed. All of this adds urgency to the work of medical re- searchers investigating any possible link between micro- cephaly and Zika infection, for which there is no cure. And it puts a heavy responsibility on the W.H.O. and institutions like the Centers for Disease Control and Prevention and the Pan American Health Organization to give clear and realistic guid- ance on how to avoid infection. The C.D.C. has issued a list of countries pregnant women should try to avoid visiting. Fighting Zika will not be easy. Like Ebola, it is nurtured by heat, humidity and poverty, conditions that can be inten- sified by globalization and global warming. Unlike Ebola, Zika is primarily spread by a mosquito, the Aedes aegypti, which is rampant in hot cli- mates. The risk of a major outbreak in the United States is low because of effective mosquito-control programs and air-conditioning. A vaccine or an effective treatment is still a long way off. Immediate responses, like increasing access to birth control and abortion, face stiff legal and cultural resistance in the affected region. That leaves mosquito control as the most effective weapon avail- able now. One method being tried in Brazil is to release Aedes mosquitoes that are ge- netically modified to produce self-destroying offspring. These and other mea- sures should gain momentum now that Zika has been de- clared an emergency. That is essential not only to protect women and their babies, but also for improving the global response to other obscure germs waiting their turn in some hot, humid place. © 2016, the New York times It is the duty of the Progressives government, the independents and the Opposition members to put country before self [ … ] The risk of a major outbreak in the United States is low because of effective mosquito- control programs and air-conditioning.The islands’ most-trusted news source 5 Cayman Compass • Friday February 5, 2016 Prize package includes: • Two nights in Paris and two nights in Cannes at a 5-star hotel with breakfast included • Private city tour of Paris • Exclusive dinners at luxurious restaurants in Paris and Cannes • Exclusive red carpet entrance to Cannes Film Festival 181004-Ad-Compass-FullPg-Cannes.indd 12/3/16 9:52 AM6 LOCAL NEWS Friday February 5, 2016 • Cayman Compass Bryan verdict expected Tuesday Former assistant to premier maintains he was trying to help police Carol Winker cwinker@pinnaclemedialtd.com A verdict in the trial of Kenneth Bryan, former po- litical assistant to Premier Alden McLaughlin, is ex- pected on Tuesday, Feb. 9, following the conclusion of evidence and submissions this week. Bryan, a former televi- sion reporter and candidate in the 2013 elections and cur- rent radio talk-show host, pleaded not guilty to disor- derly conduct and assaulting police outside Dream Night Club in the early hours of Oct. 11, 2014. In his evidence on Tuesday and Wednesday this week, Bryan maintained that he was trying to help police. He said he left the night club around 2:30 a.m. and was getting ready to drive away when a man he knew engaged him in conversation. As they talked, he saw female detective Karen McQuade ap- proaching and seeming to be in distress. They knew each other because of his reporting at various crime scenes. A man, initially referred to only as Jermaine, was fol- lowing and verbally abusing her. She took refuge in Bryan’s car and Bryan said he tried to calm the man down, but things got worse. Another man, referred to as TC, came over to help him deal with Jermaine and those two got into a phys- ical struggle. Ms. McQuade left the scene and Bryan said police officers arrived and parted Jermaine and TC. Subsequently, Jermaine left and officers arrested TC. “What I saw as a cit- izen was … that police had let the ‘bad guy’ go, in my perspective,” Bryan told the court. Because he knew the officer in charge, he went over intending to explain that the police were making a mistake. He said he wasn’t happy, but he was calm and not aggressive. As he approached, another officer put out his arm to stop him, telling him, “Stand back and don’t obstruct jus- tice.” Bryan said he used a slang term in reply, saying he was just trying to help. He was subsequently grabbed from behind by another officer and pulled away; when he and that of- ficer recognized each other, he was released and they talked. Bryan said he went back toward the senior of- ficer to try to explain what had happened. The of- ficer who had stopped him the first time told him he would be arrested if he came back again. In cross-examina- tion, Crown counsel Scott Wainwright told the defen- dant, “No one is criticizing you for assisting Detective Constable McQuade … [but] thereafter you overstepped a mark in the way you reacted with police.” Bryan said he understood, but did not agree. Mr. Wainwright noted that the disorderly conduct charge alleged that Bryan had used abusive and calumnious lan- guage such as would tend to provoke a breach of the peace. The officers’ evidence was that Bryan had used the f-word in various contexts, such as telling an officer to “turn your f–– ugly face so I can see you” and asking if the officer wanted to lose his “f–– job.” Bryan had admitted using a particular phrase and it was arguable that this “con- tinuous use” made the charge because of the circumstances. The charge of assaulting police did not have to mean physical contact, Mr. Wainwright indicated. The evidence was that Bryan broke free from the officer who grabbed him and made a beeline for where the other officers were – the senior po- liceman and the officer who had stopped him by putting out his arm. This second of- ficer apprehended immediate and unlawful violence and adopted a defensive stance. Invasion of personal space and the language used makes out the charge, Mr. Wainwright said. There does not need to be any physical force if the complainant ap- prehends physical violence. Bryan’s defense attorney Karin Thompson noted that her client had appealed pub- licly for witnesses to come forward, but no one was willing to give evidence, so it was his word against the po- lice officers’. Regarding his language, she said Bryan had argued that as political assistant to the premier, he would not use such language: “I would be putting my livelihood on the line.” If officers said he had used the f-word, they were either mistaken or lying, Ms. Thompson said, and she asked the court to con- sider the likely atmosphere at the time, with a noisy crowd around. When the officer had put his arm out to stop Bryan, he had turned around to face him; therefore, there was no need for Bryan to tell him to turn his face, she pointed out. Bryan had denied doing anything to give an impres- sion of threatening physical violence. He said the officer had a reputation for muscle, so it would be foolish to in- vite physical confrontation. He said his bail sheet had listed a charge of common assault. He was upset after being charged with as- saulting police because the charges are for different behaviors and have dif- ferent consequences. He said he had wanted to put out a press release when the charges became public, but the premier had told him to let it cool down a bit. “This was damaging to my per- sonal and professional rep- utation,” he pointed out. “If this was left alone without my side of the story, they [people] would think I was aggressive with police.” “I don’t curse police,” he added later. “When some- thing happens, I’m the first to call police.” Bryan said he was put on paid leave after the incident. “In January 2015, Cabinet called me in and said they were releasing me from my job,” he told the court. “I be- lieve this was an opportunity for the premier of the Cayman Islands to get rid of me.” Defense attorney Karin Thompson noted that her client had appealed publicly for witnesses to come forward, but no one was willing to give evidence, so it was his word against the police officers’. Kenneth BryanThe islands’ most-trusted news source 7 Cayman Compass • Friday February 5, 2016 Monyque “Miracles Always Happen When You Believe...” Proudly Sponsored by CongratulationsThe islands’ most-trusted news source 8 Friday February 5, 2016 • Cayman Compass DACO WATER SPECIALTIES A division of Puritan Cleaners Dealers in MYERS Pumps & Water Systems 949-7104/526-1038 337 EASTERN AVENUE GT. Premier mocks BBC documentary here is fueled by the financial services industry because a lot of other rich people chose to put their assets here,” he said. “The Pulitzer is in the bag.” After saying he had no argument with the anal- ysis up to that point, Mr. McLaughlin said after that, he diverged from Mr. Peretti’s conclusions. “His main argument ap- peared to be that people should not have that choice to invest here,” he said. “A suc- cessful and thriving financial services industry is appar- ently an affront to Mr. Peretti and his ilk and he questioned whether this was therefore something that the United Kingdom should in some way shut down. Perhaps a better question for him to ask would have been why the in- dustry is so successful and why people make the per- fectly legitimate choice to in- vest here. The answer to that question is in this room.” Mr. McLaughlin extolled the creativity and innovation of Cayman’s financial ser- vices industry professionals and said the government was determined to support them and help them succeed. He also noted that Mr. Peretti showed another side of Cayman by highlighting “relative poverty in parts of our community.” He ac- knowledged that “times are still tough for some on our island,” but he didn’t agree with Mr. Peretti’s reasons why some live in poverty. “His contention was that this relative poverty for some is the price these islands pay for having a thriving finan- cial services industry and, it appeared, that in some way the government is prepared to connive with business in a willingness to pay the price,” he said. “Mr. Peretti is not simply wrong; I believe he is willfully missing the point.” Mr. McLaughlin said the government believes that eco- nomic growth benefits ev- eryone in the islands. “We believe that a strong and thriving financial ser- vices sector in Cayman drives economic growth, and therefore it deserves our support,” he said. “This government believes the key to tackling poverty is not giving handouts, but cre- ating employment. Growth delivered by the private sector is the most important determinant of employment, but we as government also have a direct role to play in helping Caymanians over- come important barriers to getting jobs.” Although he said it was clear he did not think much of Mr. Peretti’s documentary, he warned that it should not be dismissed as trivial nonsense. “We must recognize it for what it is: part of a concerted campaign to undermine the financial services industry of these islands,” he said. “It is a campaign taken up by politicians in the U.K., the EU and the USA eager to de- flect from their own failings. Why deal with long-standing structural problems in your own economy when you can simply cry foul at someone else’s economic achieve- ments? Instead of looking at the need to reform your own over-taxed and bureaucrati- cally regulated systems, why not try to wreck the success of another jurisdiction?” Mr. McLaughlin said the government is “absolutely committed” to supporting the success of the financial ser- vices industry. “We will continue to fight for your right to do business in a jurisdiction that does not penalize success with exces- sive taxation and over-regula- tion,” he said. “Ours is a truly symbi- otic relationship. You suc- ceed if government ensures the environment is right for you. Your success drives eco- nomic growth and brings revenues to government, both of which allow govern- ment to act in the interests of the wider community.” CONTINUED FROM PAGE 1 (AP) – Johnson & Johnson, continuing its long quest for a Type 1 diabetes cure, is joining forces with bio- tech company ViaCyte to speed development of the first stem cell treatment that could fix the life-threatening hormonal disorder. They’ve already begun testing it in a small number of diabetic patients. If it works as well inpatients as it has in animals, it would amount to a cure, ending the need for fre- quent insulin injections and blood sugar testing. ViaCyte and Johnson & Johnson’s Janssen BetaLogics group said Thursday they’ve agreed to combine their knowledge and hundreds of patents on their research under ViaCyte, a longtime J&J partner focused on re- generative medicine. The therapy involves in- ducing embryonic stem cells in a lab dish to turn into insulin- producing cells, then putting them inside a small capsule that is implanted under the skin. The capsule protects the cells from the immune system, which otherwise would attack them as invaders – a road- block that has stymied other research projects. Researchers at universi- ties and other drug compa- nies also are working toward a diabetes cure, using var- ious strategies. But according to ViaCyte and others, this treatment is the first tested in patients. If the project succeeds, the product could be available in several years for Type 1 dia- betes patients and down the road could also treat insulin- using Type 2 diabetics. “This one is potentially the real deal,” said Dr. Tom Donner, director of the di- abetes center at Johns Hopkins University School of Medicine. “It’s like making a new pancreas that makes all the hormones” needed to con- trol blood sugar. Donner, who is not in- volved in the research, said if the device gives patients normal insulin levels, “it’s going to prevent millions of diabetics from getting dan- gerous complications.” People with Type 1 dia- betes no longer produce in- sulin, the hormone that con- verts sugar in the blood into energy, because their immune system has killed off the beta cells in the pancreas. Those cells make insulin in re- sponse to rising blood sugar levels after a meal. Over years, excess sugar in the bloodstream damages blood vessels and organs. Without effective treatment, di- abetics suffer severe complica- tions: blindness, kidney failure, heart disease, amputations, even premature death. On the other hand, too much insulin can cause very low blood sugar, which can kill patients, particu- larly young children. Johnson & Johnson, ViaCyte test possible diabetes cure Premier Alden McLaughlin speaking at the Cayman Alternative Investment Summit on Thursday. – Photo: AlAn MArkoff CarePay trial: Canover Watson guilty on 5 criminal charges Following the announce- ment of the initial guilty ver- dict on four of the six charges, Watson looked surprised, then put his head in his hands and later went over to speak with his 74-year-old father, who has been present for nearly every day of the trial. Watson’s local counsel Ben Tonner said following the ver- dict that attorneys would have to consider whether they would file an appeal. He said Watson would be remanded at Northward Prison overnight prior to his sentencing Friday. Both Justice Mettyear and Deputy Director of Public Prosecutions Patrick Moran praised the work of the Cayman Islands Anti- Corruption Unit, which had been investigating the case against Watson for years prior to his arrest in August 2014. Two offi- cers in particular, Inspector Richard Oliver and Sergeant Anthony Hill, were singled out for their hard work in the investigation. “I congratulate the ACU on their fine work on this case,” Justice Mettyear said. Watson was accused, along with his business partner and friend Jeffrey Webb, of or- chestrating a scheme that skimmed hundreds of thou- sands of dollars from the Cayman Islands public hos- pital system’s CarePay pa- tient swipe-card contract. It was a scheme which prose- cutors said Watson directed as the former chairman of the Health Services Authority Board. Webb still faces charges in the CarePay case, but was unable to attend trial in Cayman with Watson fol- lowing his guilty plea in the U.S. in connection with the FIFA racketeering and bribery probe. Unusual verdict An unusual set of circum- stances occurred in the court just prior to the jury’s an- nouncement of a partial ver- dict in the case. Initially, jurors were called in by Justice Mettyear around 2:15 p.m. Thursday and asked if they had reached a verdict on any of the counts in the indictment against Watson. The jury forewoman did not immediately respond to the judge’s question, which he took as an indication that the jurors had not yet reached a verdict. He then proceeded to in- form jurors that they could reach a verdict by a minimum 5-2 majority vote, if necessary, rather than by a unanimous 7-0 vote on any of the counts. After a short break, the jury was called back into the courtroom. This time, Justice Mettyear asked whether they had reached a decision on any of the counts. The forewoman indicated they had reached a verdict on four of them. Justice Mettyear then asked the jury to give its ver- dicts on the four charges. The forewoman indicated a unani- mous guilty verdict on all four. Remaining undecided on the other two counts, the jury went back into the delibera- tion room for about another hour before reaching their final verdict around 4 p.m. During that time, Watson was not allowed to leave the building. The charges For the first two counts of the indictment against Watson, the Crown had to prove there was a conspiracy involving dishonest acts and that the defendant was involved. In the first count, the Crown had to prove that the CarePay system’s local contractor, AIS (Advanced Integrated Systems) Cayman Ltd., had been formed in a way to disguise the involve- ment of Watson and Webb, and that the two had “ad- justed” the cost proposal for the contract upward in late 2010. The charge also alleges they provided bogus records to Fidelity Bank to set up the AIS Cayman account. The second charge re- quired the Crown to prove Watson and Webb doc- tored a contract and misled the government into ap- proving funds for a US$2.4 million expansion of the CarePay system to private sector healthcare providers. That proposed expansion never happened. The third count in the in- dictment alleged Watson failed to disclose that he had a personal interest, or that the company he and Webb owned, The W Group, had an interest in the decision of the Health Services Authority board to award the CarePay contract to AIS Cayman and its Jamaican partners. Count 4 of the criminal indictment alleged fraud on the government by Watson as a result of the conspiracy to defraud entered into by him- self, Webb and others. Initially, Watson was accused of taking about US$348,000 in what amounted to kickbacks from the CarePay scheme he al- legedly directed. Later in the trial, as more evidence emerged from portable USB computer drives found at Watson’s former place of em- ployment, that amount rose to more than US$417,000. The fifth count of the in- dictment, upon which the lone not guilty verdict was delivered, was for alleged money laundering activi- ties in connection with the transfer of proceeds from the CarePay contract scheme. The sixth count alleged multiple breaches of trust by Watson, a public offi- cial, during his tenure as chairman of the Health Services Authority between 2010 and 2013. Watson was remanded in custody following the announcement of the final verdict Thursday afternoon. CONTINUED FROM PAGE 19 LOCAL&REGIONAL Cayman Compass • Friday February 5, 2016 Passed away Feb. 6, 2015 Sadly missed by nieces, nephews and friends In Loving Memory of Hazel Marr-Johnson We have been asked to announce the passing of Mr. George Edward Seymour who passed away on Wednesday, January 20, 2016. A Service of Thanksgiving will be held on Saturday, February 6, 2016 at Church of God Chapel, Walkers Rd., George Town at 2:00 p.m. Viewing will be from 1:00-1:45p.m. Interment to follow at Prospect Cemetery. Condolences can be registered at churchillsfuneralhome.com We regret to announce the passing of Condolences can be registered at boddenfuneralservices.com & Bodden Funeral Service Facebook page Mr. English will be repatriated to the USA, for funeral services. Michael English Who departed this life on Tuesday, 26 January, 2016 We regret to announce the passing of Ethel Vinola “Nolie”Ebanks Who departed this life on Thursday, 28th January, 2016. Condolences can be registered at boddenfuneralservices.com & Bodden Funeral Service Facebook page. A funeral service will be held 3:00 p.m. on Saturday, 13th February, 2016, at the Veterans & Seamans Center, Cayman Brac, with interment to follow at the West End Cemetery. Funeral goers are invited to wear colorful attire, as Nolie loved bright colors. ces.com e, We regret to announce the passing of Isabel Washington (nee Christian), Who departed this life on February 1, 2016 in Orlando Florida. Condolences can be registered at boddenfuneralservices.com & Bodden Funeral Service Facebook page. A service of thanksgiving will be announced at a later date. Divers assess coral damage at impacted site James Whittaker jwhittaker@pinnaclemedialtd.com Some of the damage caused by the anchor chain of Paul Allen’s yacht is irrepa- rable, scuba divers who have surveyed the site believe. Divers recorded video footage of the area of reef impacted in the Jan. 14 in- cident that shows large chunks of coral sheared away from the reef. A recovery project, similar to the ongoing effort to repair reef damaged by the Carnival Magic cruise ship anchor in 2014, is being considered. But dive leaders believe the damage cannot be fully re- paired and acknowledge it will be difficult to recruit vol- unteers to clean up after an- other anchor damage incident. Jason Washington of Ambassador Divers, which runs scuba trips for tourists to the nearby Doc Poulson wreck and Knife dive site, said he was surprised at the scale of the damage, which covers 13,000 square feet of reef – equivalent to an Olympic size swimming pool. “It was worse than I ex- pected. It looks like the an- chor chain has sheared off the top of the reef,” said Mr. Washington. Representatives of billion- aire Microsoft co-founder Mr. Allen, a large donor to con- servation causes including coral reef research, have ac- knowledged that his yacht Tatoosh was involved in the incident and say they are as- sisting with an investigation. Neither the Ministry of Environment nor the Port Authority was able to pro- vide an update by press time Thursday on the status of the investigation or any negotia- tions with Mr. Allen’s com- pany, Vulcan Inc. Mr. Washington said he understands the incident was an accident, but he hopes Mr. Allen’s company will help com- pensate for the damage caused. He hopes the incident will be a wake-up call to boat owners and the Port Authority. “There has been such an outcry over this that I hope people will learn lessons from it and everybody will be a lot more careful,” Mr. Washington added. Joe Avary, a diver who has volunteered on the Cayman Magic Reef Recovery project over the last 18 months, sur- veyed the site this week. He believes the damage is sim- ilar in size and scale to the destruction caused by the cruise ship anchor in the ear- lier incident. “On the Magic reef, there is this really dramatic scar where the anchor was dropped on the reef – here it is more that the chain has rolled continuously over the reef like a rolling pin.” He said large chunks of hard coral, some with soft gorgonians still attached, were lying on the ocean floor in sand channels that run be- tween the fingers of coral reef. Volunteers have put in more than 1,000 man hours and shifted 10 tons of rubble to clean up and rebuild the reef after the Carnival Magic inci- dent. The project is in the home stretch, but teams are still working to attach surviving salvaged coral to the reef. Mr. Avary believes there is some fatigue in the dive com- munity following that project. He thinks it is unlikely that as many people will step up to give their time again. “I would be willing to get something started,” he said. “I remember how much fun it was and how energized ev- eryone was at the start of the Cayman Magic Reef Recovery effort. I don’t think we would be able to get that type of re- sponse again. I don’t see the enthusiasm for that type of volunteer effort happening a second time. I think there is some frustration that these events keep happening.” He said the best method to mitigate the damage would be to take the approach used fol- lowing the Maasdam incident in 1996. After Holland America’s Maasdam ran aground on Soto’s Reef off George Town, the cruise company financed the restoration effort, paying divers to work full-time. Mr. Washington has posted a video of the damage on his blog at: www.idivecayman.com/paul- allens-mega-yacht-destroys- a-protected-cayman-reef. WASHINGTON (AP) – Infuriating members of Congress, a smirking Martin Shkreli took the Fifth at a Capitol Hill hearing Thursday when asked about his jacking up of drug prices, then promptly went on Twitter and insulted his questioners as “imbeciles.” The brash, 32-year- old entrepreneur who has been vilified as the new face of pharmaceutical in- dustry greed was summoned by the House Oversight and Government Reform Committee, which is inves- tigating soaring prices for critical medicines. Four times, he intoned: “On the advice of counsel, I invoke my Fifth Amendment privilege against self-in- crimination and respect- fully decline to answer your question.” At another point, he said: “I intend to follow the advice of my counsel and not yours.” Lawmakers erupted. Rep. Elijah Cummings of Maryland, the top Democrat on the committee, told Shkreli to wipe the smirk off his face. “I call this money blood money … coming out of the pockets of hardworking Americans,” he said, as Shkreli sat through the lecture. “I know you are smiling, but I am very serious, sir,” Cummings said. “I truly be- lieve you can become a force of tremendous good. All I ask is that you reflect on it. No, I don’t ask, I beg that you reflect on it. “ The former hedge fund manager with a frat-boy swagger has been reviled in recent months for buying Daraprim, the only approved drug for a rare and some- times deadly parasitic infec- tion, and then unapologeti- cally raising its price more than 50-fold. Shkreli is out on $5 mil- lion bail after being arrested in New York in December on securities-fraud charges un- related to the price increase. He was dismissed less than an hour into the hearing, but not be- fore Chairman Rep. Jason Chaffetz, R-Utah, shouted down a request by Shkreli’s attorney to speak. Lawmakers instead took turns denouncing his con- duct and attitude. Minutes after he left – and even before the hearing had ended – Shkreli thumbed his nose at the committee. “Hard to accept that these imbeciles represent the people in our government,” the former CEO of Turing Pharmaceuticals tweeted. Shkreli’s attorney Benjamin Brafman later said in his defense: “He meant no disrespect, but in truth, statements made by some of the members of the com- mittee were wrong, unfair and difficult to listen to without responding.” Allen yacht reef damage ‘worse than expected’ Drug exec infuriates lawmakers at hearing This image taken from video shows some of the coral sheared off by the yacht. - IMAGE: COURTESY JASON WASHINGTON Pharmaceutical chief Martin Shkreli during a hearing on Capitol Hill on Thursday. - PHOTO: APNext >