ALSO AVAILABLE WITH TM & © 2020 Burger King Corporation. SEVEN MILE BEACH WATERFRONT WALKERS ROAD TOWN CENTRE PLAZA RED BAY cayman compass Your most trusted news source Established 1965 75 CENTS | Funding local journalism | Monday, 24 February 2020 2021 plastics ban proposed Page 3 Max 8 heads to US facility Photo: Taneos Ramsay News Rough seas rock Cayman coastline Page 4 Business Cayman hopes EU blacklisting short-lived Page 8 One hurt in George Town shooting Page 2 Premier to kick off UK talks Page 2 Cayman Airways 737 Max 8 touches down after a maintenance flight on Saturday. Page 5In UK to meet with Sugg, Prince Charles RESHMA RAGOONATH rragoonath@compassmedia.ky Premier Alden McLaughlin will begin a series of meetings in London this week with UK leaders as he moves to build on relations across the pond to champion Cayman’s reputation. It comes on the heels of the European Union’s decision last week to blacklist Cayman as a non-cooperative tax jurisdiction, the only British overseas territory named. The blacklisting also follows the UK’s departure from the EU through Brexit. Cayman, together with Palau, Panama and the Seychelles, was added to the list at a meeting of the bloc’s finance ministers last Tuesday. The EU, in its statement on the list, said, “These jurisdictions did not implement the tax reforms to which they had committed by the agreed deadline.” The Cayman Islands had committed to address by the end of last year EU concerns over economic substance in the area of collective investment funds. Cayman, Palau, Panama and the Seychelles joined American Samoa, Fiji, Guam, Oman, Samoa, Trinidad and Tobago, US Virgin Islands and Vanuatu on the list. McLaughlin, who left for London Friday, said government has already contacted EU officials to start the process of being removed from the blacklist as soon as possible. The Premier’s Office, in a statement Friday, said McLaughlin will meet with Sir Edward Lister, chief of staff to the UK prime minister at 10 Downing Street to discuss the EU’s decision as “on- going matters.” “These meetings are important because Cayman continues to stand strong in the world and we need to continue to champion good relations with the UK,” said McLaughlin, in the statement. The premier will also have an introductory visit with Baroness Elizabeth Sugg, new minister with responsibility for the overseas territories and sustainable development in the Foreign and Commonwealth Office. He will also meet with Prince Charles, UK ministers and parliamentarians, and senior officials with the City of London Corporation. “I am also looking forward to meeting Baroness Sugg to ensure we have a close working relationship and continued cooperation with the United Kingdom. Too, I believe it is important that the Cayman Islands and the UK work more closely on trade issues,” the premier said. The statement said the meetings were organised by McLaughlin’s Ministry of International Trade, Investment, Aviation and Maritime Affairs and “are part of the on-going engagement strategy and partnership with the UK Government and the Commonwealth Enterprise and Investment Council.” International Trade Ministry Chief Officer Eric Bush and McLaughlin’s senior political adviser Roy Tatum are also in London for the meetings. Financial services industry members Dan Scott, Alasdair Robertson and Kevin Lloyd are accompanying McLaughlin on the trip as well. 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WHAT’S PLAYING THIS WEEK MONDAY, FEBRUARY 24 BAD BOYS FOR LIFE (R) 12:55 VIP | 3:55 | 4:00 VIP | 7:00 VIP | 7:00 | 9:55 VIP BLUMHOUSE’S 1:15 | 2:45 | 9:50 FANTASY ISLAND (PG-13) CALL OF THE WILD (PG) 1:40 | 4:20 | 6:50 | 9:20 THE DARE (R) 12:20 | 5:25 | 7:50 | 10:15 EMMA (2020) (PG) 12:30 | 3:30 | 6:50 | 9:50 SONIC THE HEDGEHOG (PG) 12:45 | 3:40 | 6:40 | 9:10 Premier to tackle EU blacklist EU blacklist • Cayman • Palau • Panama • The Seychelles joined • American Samoa • Fiji • Guam • Oman • Samoa • Trinidad and Tobago • US Virgin Islands • Vanuatu ANDREL HARRIS aharris@compassmedia.ky One man is in critical, but stable, condition at the Cayman Islands Hospital after a Friday night shooting. He reportedly suffered multiple gunshot wounds. Police are investigating the incident which happened behind a George Town liquor store. They said just after 8:30pm officers and other emergency services were dispatched to Shedden Road in the vicinity of Mary Street, George Town after a report of a shooting in the area. The victim was rushed to hospital, where he is being treated for his injuries. Residents in the area told the Cayman Compass they heard as many as seven shots fired, from nearly half a mile away. The RCIPS Criminal Investigations Department is leading the investigation; detectives are encouraging anyone with information about the incident to come forward. Anyone with any information about the shooting can contact the RCIPS via their confidential tip line at 949-7777. Alternatively, anonymous tips can be made to Miami based Crime Stoppers at 800-8477. Premier Alden McLaughlinBaroness Elizabeth Sugg One hurt in Shedden Road shooting Investigators process shooting scene. cayman compass 2 news N news MONDAY, 24 FEBRUARY 2020Report to recommend law restricting single- use plastics RESHMA RAGOONATH rragoonath@compassmedia.ky Plastic Free Cayman has welcomed government’s single-use plastic stakeholder committee’s planned recommendation for legislation banning certain items effective January 2021. Claire Hughes, Plastic Free Cayman founder, said the advocacy group was “delighted the Government are taking these steps to move towards a plastic-free Cayman”. A Government Information Services statement released Friday from the committee, which is led by Environment Minister Dwayne Seymour and Infrastructure Minister Joseph Hew, said after three meetings there was unanimous agreement to include legislation in its proposal to Cabinet that would restrict certain items like single-use check-out shopping bags, polystyrene take-away containers, plastic straws, plastic stirrers, and plastic cotton swabs. “The Committee will continue to actively consider whether other single-use plastic items will be subject to legislation,” the statement said. There was no indication on when the committee’s report will be submitted. For Hughes the announcement is a positive step. Plastic Free Cayman and other local organisations have been campaigning for a single- use plastics ban due to growing scientific evidence that they were doing irreparable damage to the environment. “We will soon join many other countries in the fight against plastic and hope that as awareness grows companies here will continue to reduce the amount of plastic they use/sell and become more sustainable, where the focus shifts from disposing to reusing,” she told the Cayman Compass. Committee to continue its review The committee said, in its statement, that it also intends to look into the effects of possibly banning other plastics (e.g., polystyrene or expanded foam products), “as well as to identify reasonable, practical alternative products that can be imported in place of the items that are proposed to be banned” . The committee, which was founded last year, includes representatives from a cross-section of industry and advocacy groups including Plastic Free Cayman. The Bahamas, Barbados, Belize, the Dominican Republic, Grenada, Jamaica, and Trinidad and Tobago, on 1 Jan. all implemented bans on the use and import of single-use plastic and polystyrene. Plastic waste continues to be an issue in Cayman with tons of plastic garbage found discarded on local shorelines. “The world, including the Cayman Islands, has a real problem with over reliance on single- use plastics. We have to work together on all levels; government, organisations, companies and individuals. We have to be accountable for the islands we intend for future generations to inherit,” said Seymour in the statement. The committee said later this year it will set up a dedicated email address, which is currently being established, and will be shared shortly, to enable the public to send further information or comments to the group. The committee, the statement said, continues to assess options for restrictive legislation on the identified items and other plastics. It will consider the implications for alternatives to single-use plastics, bearing in mind Cayman’s economy, society and environment. “The Cabinet-appointed Ministry-led Committee intends to fight against these harmful products ending up in the environment and also to alleviate the pressure on recycling plants, which cannot on their own solve the massive problem,” the statement added. The committee has also looked at what other countries have done with respect to legislation banning certain products. “At this time we are in the research stage. In the interim, as we continue to work diligently to make this a reality, there are so many organisations to thank for taking up the global plastic-free movement,” Seymour said. “I know local restaurants that have already started to switch to compostable corn straws and many grocery stores now charge for plastic bags. Advocacy groups such as Plastic Free Cayman were also pivotal in bringing this to the national forefront for which both I and Minister Hew thank them.” The committee is aligned with the National Solid Waste Management Policy which prioritises reduction, reuse, recycling and recovery through Cayman’s Integrated Solid Waste Management System. Plastic Free Cayman pleased with ban proposal Proposed items facing ban • Single-use check out shopping bags • Polystyrene take away containers • Plastic straws • Plastic stirrers • Plastic cotton swabs 'Public figure' under investigation for assault House Speaker to issue statement RESHMA RAGOONATH rragoonath@compassmedia.ky An investigation has been launched into the alleged assault of a woman at the hands of an individual whom police described as a “public figure”. The woman is said to have suffered minor injuries in the incident. In a brief statement issued Saturday afternoon, police said it was reported just after 12:30am that the woman had been assaulted at a licensed liquor establishment on West Bay Road. In an earlier statement that day, police had described the individual as a senior government member, but issued a correction shortly afterwards, stating instead that the person is a “public figure in the Cayman Islands”. The RCIPS did not release the name of the public figure nor the name of the establishment at which the alleged assault occurred. Other media outlets have reported the identity of the public figure purportedly involved in the incident as House Speaker McKeeva Bush. The Cayman Compass did not receive any verifiable information to confirm those reports. However, the Compass reached out to Bush about the allegations and he said he will be issuing a statement by noon on Monday. Police said the alleged suspect in the assault had not been arrested or charged. The Compass also reached out to the alleged victim in the incident; no response was received up to press time. The matter is being investigated by an RCIPS superintendent. Police are urging anyone with information to contact the George Town Police Station at 949-4222 and ask to speak with the inspector in charge. The aim of the proposed ban is to reduce the amount of single-use plastics used in the Cayman Islands. – Photo: Alvaro Serey “We will soon join many other countries in the fight against plastic and hope that as awareness grows companies here will continue to reduce the amount of plastic they use/sell and become more sustainable, where the focus shifts from disposing to reusing .” Claire Hughes , Plastic Free Cayman 3RESHMA RAGOONATH rragoonath@compassmedia.ky Passengers aboard the Cayman Aggressor liveaboard yacht got a rude awakening Saturday as a sudden overnight surge kicked up choppy seas along the coastline. Crew member Morgan Oughton told the Cayman Compass it was not the wake-up call she was expecting. “We usually dock on Friday nights and we can stay here all- day Saturday to reach dock and everything. But the waves kicked up this morning [Saturday] and we were all woke up by the boat bouncing against the dock here. So that’s pretty much our ‘we got to go now,’” she said. According to the National Weather Service weekend forecast, moderate-to-fresh northeasterly winds and rough seas were expected across the Cayman area “as a diffused cold front” was moving southeast near here. NWS meterologist Gilbert Miller said Saturday the wave heights, based on observation, were three to five feet in the harbour with swells about two feet above those heights. “For the next 3 days we expect winds to be northeast at 15 to 20 knots. Those speeds usually produes seas of 4 to 6 feet on the eastern side of the islands with some choppy seas in the harbour. Most models show a second cold front approaching the Cayman Islands from Thursday next week which, if it remains, will produce westerly winds and could produce rough seas in the harbour,” he said via email. On Saturday the 120-foot yacht, which was docked in Hog Sty Bay, was tossed back and forth by the choppy waves. A ship which had been offloading cargo, also had to beat a hasty retreat with the assistance of tugs. The dock area was completely cleared of equipment and containers as the waves crashed onto the port. “A cold front moved in Friday night and with it came rough seas. All operations had ceased until it subsided and it was safe to operate again,” Port Director Joseph Woods told the Cayman Compass. He added that container vessel operations were expected to resume Sunday night. Oughton and the crew had to move fast to save the boat from damage and free it from the moor to be able to get it out to sea. She jumped off the vessel onto the dock while it was violently rocking, to loosen its ropes while her fellow crewmembers raised the anchor. Oughton said there were 19 guests on the liveaboard, all of whom needed to leave. “They all flights and everything, so we’re gonna have to get them off and all their luggage,” she said. While she said it was not a typical Saturday morning for the crew and passengers, “we’ve done it before”. She said this week will be a down week for the dive yacht as contractors are set to perform maintenance work on the vessel. However, with the choppy seas, she was not sure if the contractors were going to be able to do the work, she added. The vessel moored at Devil’s grotto to get passengers off. FridAY'S SOLUTiONS 123456 78 910 1112 13 141516 17 181920 21 2223 24 123456 78 910 1112 13 141516 17 181920 21 2223 24 Puzzle 16307 ACROSS: 1 Slump, 4 Stadium, 8 Odd, 9 Overjoyed, 10 Giraffe, 11 Usury, 13 Prolix, 15 Sniper, 18 Creep, 19 Miserly, 21 As a result, 23 Awl, 24 Stetson, 25 Piety. DOWN: 1 Stopgap, 2 Undertone, 3 Proof, 4 Sweden, 5 Adjourn, 6 Ivy, 7 Muddy, 12 Upper case, 14 Impress, 16 Royalty, 17 Impugn, 18 Class, 20 Sit-up, 22 Awe. ACrOSS 1 Conciliatory gesture (5,6) 9 Stipulation (7) 10 To primp (5) 11 Augury (4) 12 Raze (8) 14 A root vegetable (6) 16 Understand (6) 18 Mentally alert (3,5) 19 Commotion (4) 22 To captivate (5) 23 Make ready (7) 24 Be in total agreement (3,3,2,3) dOWN 2 Lacking precision (5) 3 Empty (4) 4 Buying and selling agent (6) 5 Commendation (8) 6 Hold dear (7) 7 Of required standard (2,2,7) 8 For sale (2,3,6) 13 Geniality (8) 15 To set free (7) 17 Threefold (6) 20 Sycophant (5) 21 Infamous Roman emperor (4) The Compass Crossword Puzzle The Compass universal kakuro Puzzle 16309 The numbers in the black cells are clues. Numbers above the slash are across clues. Number below the slash are down clues. The goal is to enter digits 1 - 9 in the white cells to add up to the number clues. You cannot enter any digit more than once when adding up to clue. cartoon Taxi complaint - By Caymanman Rough seas rock Cayman Aggressor The Cayman Aggressor being buffeted by rough seas on Saturday. Cayman Aggressor crew member Morgan Oughton. About the Cayman Aggressor The Cayman Aggressor V is a 120ft (36m) yacht which cruises around dive sites of the Cayman Islands. It offers opportunities during the trips for snorkelling and island visits. The steel-hulled liveaboard accommodates a maximum of 20 guests. Part of the vessel’s mission is to promote ocean conservation. 4Max 8 heads to boeing facility ANDREL HARRIS aharris@compassmedia.ky One of Cayman Airway’s two 737 Max 8 aircraft will depart Owen Roberts International Airport Monday for a Boeing maintenance facility in the US. The journey comes two days after the Max 8, VP-CIW, aircraft successfully conducted an hour- long maintenance flight test on Saturday evening. The plane departed Owen Roberts in an easterly direction; upon reaching Little Cayman, the plane turned around and returned to ORIA. “The aircraft functioned perfectly in all respects and phases of flight,” said Fabian Whorms, CAL president and CEO. Prior to the flight, the plane had been grounded in a Cayman Airways hangar for nearly a year. The flight attracted scores of onlookers who pulled off the road to watch the plane take off and touch down. Flying the aircraft were Chief Pilot Captain Perry Panton and Captain Steven Coe, Cayman Airways manager of flight training and standards. Also on board as observers were Captain Lindsay Cadenhead of the Civil Aviation Authority of the Cayman Islands and Captain Tim Patterson from Boeing. Saturday’s maintenance flight took place ahead of a “repositioning” flight to California to upgrade the aircraft before it can return to service, Whorms explained. “The aircraft was functionally tested as part of its maintenance programme and to allow the aircraft to undertake a ferry flight to go to a facility in California to have upgrades accomplished in preparation for return to service later this year,” said Whorms. Despite the positive flight, it is unclear when the Max 8 will return to service. The planes still require flight clearance from aviation authorities to return to the skies. A global grounding of Max 8 planes remains in effect. Cayman Airways took its Max 8 planes out of operation in March last year following two fatal crashes – Lion Air near Jakarta, Indonesia, and Ethiopian Airlines outside Addis Ababa, Ethiopia – that claimed the lives of 346 people. An investigation into the crashes revealed issues with Boeing’s MCAS system, which is designed to prevent a plane from stalling when a take- off angle is too steep. Although the MCAS system issue has been addressed, ongoing investigations into the safety of Max-8s had found other software-related problems with the planes. On 1 Jan., the US Federal Aviation Authority, which is overseeing the investigations into the Boeing safety issues, stated that the latest documents submitted by the aircraft manufacturer have not pointed to any new “safety risks that were not already identified as part of the ongoing review of proposed modifications to the aircraft”. Once the Max 8 reaches the US-based maintenance and storage facility, it will undergo some required work that will prepare the aircraft for return to service, which Whorms expects to occur later this year. Although Cayman Airways’ Max 8s are grounded, the aviation authorities in Cayman and the US granted special licences to allow the plane to complete Saturday’s test flight, as well as Monday’s ferry trip. These flights are restricted to a limited-number of flight crew and other authorised personnel. Additional reporting by Reshma Ragoonath. •Wood look porcelain tiles discounted •Xtra large format marked-down •Exterior tiles •Bathroom wall tiles •Kitchen backsplash specials •Prices as low as $1.32 per square foot MORE SPECIALS IN STORE! February Tile Blowout! SELECTED ITEMS! OFF 50 % 64 Eastern Avenue | (345) 949-6348 | info@ediesdecor.ky 2 DAYS ONLY - Friday & Saturday Max 8 Flight makes first flight in nearly a year CAL’S Max 8 takes off for a maintenance flight after sitting grounded in a hangar for nearly a year. Scores of onlookers gather at runway fence to get a view of Max 8 take off and landing. cayman compass 5 news N news MONDAY, 24 FEBRUARY 2020CAYMAN ORTHOPAEDIC GROUP DR. BRADLEY PETRISOR, M.D., F.R.C.S.C. Orthopaedic Trauma, Foot & Ankle Reconstruction will be at Unit #1, Smith Road Plaza Monday, 24th February 2020 to Friday, 28th November 2020 PLEASE CALL 945-8380 FOR APPOINTMENTS RESHMA RAGOONATH rragoonath@compassmedia.ky Local arts and culture icons were celebrated at the Cayman National Cultural Foundation’s 26th annual National Arts and Culture Awards ceremony last Thursday. CNCF artistic director Henry Muttoo, speaking at the event at the Harquail Theatre, congratulated the winners, saying that their contributions were important to the “development and maintenance of Caymanian society”. “Despite the systems working against you, you have made an incalculable difference to the quality of life in these Cayman Islands. Know that your contributions are thoroughly appreciated by CNCF and our wider society,” Muttoo said. He told those gathered at the ceremony that CNCF cannot survive without the sponsorship of those in the community and support from the public. To stress the point, he quoted Caribbean Nobel laureate Derek Walcott: “A morning could come in which governments might ask what happened not merely to the forests and the bays but to a whole people.” Muttoo said, “I encourage you all to stay on the journey and not forget that a society without a vibrant culture rooted in its heritage and the arts is ailing. It is our duty to see to it that the Cayman Islands is kept in good artistic and cultural health.” Joan Wilson read select poems from her book and presented a copy to CNCF. Quincy Brown entertained the audience with monologues, while Bona Fide provided musical entertainment during the cocktail social prior to the awards. Sandra Watler received the Chairman’s award, while Island Heritage was named Sponsor of the Year. The event was hosted by Ruthanna Young and Ben Meade. CNCF honours culture contributors Outstanding volunteers Hazel Brown Ileann Powery Raj Rangarajan Entertainer Quincy Brown makes a point during his monologue. Entertainer George Jones receives his silver star for creativity award from artist/teacher Lorna Reid. Debra Barnes-Tabora recieves her Gold Heritage Cross from Culture Minister Dwayne Seymour. Attendees were treated to some fancy Latin footwork. Poet Joan Wilson, centre, presents a copy of her book of poems to CNCF artistic director Henry Muttoo, left. CNCF artistic director Henry Muttoo, left, presents Wray Banker with his Gold Star for creativity award. Culture Minister Dwayne Seymour, right, presents Isaac Jeralow Rankine with his Gold Heritage Cross award. Honour roll Gold Heritage Cross Debra Barnes-Tabora Isaac Jeralow Rankine Anne Walton Gold Star for Creativity Wray Banker Conroy Ebanks cayman compass news N news MONDAY, 24 FEBRUARY 2020 6Ash Wednesday Please be advised that the Cayman Compass will not be published on Wednesday, 26 Feb., 2020 For more information call 949-5111 or email at sales@compassmedia.ky | classifieds@compassmedia.ky AD BOOKING DEADLINES EDITIONDEADLINE Wednesday, 26 Feb. No Publication Thursday, 27 Feb. Friday, 21 Feb. Friday, 28 Feb. Monday, 24 Feb. Booking Deadline: 10am | Artwork Deadline: 3pm From left, Jeremy Parchman, Kevin Parchman and Shimar Kelly. cayman compass 7 news N news MONDAY, 24 FEBRUARY 2020 Skull-breaker challenge hits CI Doctor warns parents ANDREL HARRIS aharris@compassmedia.ky A new viral social media trend called the “Skull-Breaker Challenge” has found its way into Cayman’s schools and parents are being warned to advise their children against it. Last week, video surfaced on several social media platforms showing students at the Cayman Islands Further Education Centre preforming the challenge. In the video, three male students are seen standing side-by-side. The student in the middle jumps, but, before he can land, his feet are knocked out from under him by the other two students beside him. He tumbles down to the ground as the other two run off in separate directions, as the 40-second clip ends. Obinna Eleweanya, a physician with the Cayman Islands Health Services Authority, said when he first saw the video, he was shocked. “I wasn’t sure about the authenticity of the video,” he said. “I immediately sent it to my son and told him not to participate in it.” Having practised as a physician in multiple emergency rooms over nearly 25 years, Eleweanya told the Cayman Compass, he has seen several “freak accidents” happen from simple everyday activities. “I tend to be more paranoid as a parent,” he said. “This challenge is very, very dangerous for the children involved.” Eleweayna said it is dangerous because it circumvents the body’s emergency reflex actions, and the potential injuries will depend on several variable circumstances. “By kicking away the feet before the person lands, the element of surprise causes the person’s instinctual reflexes not to kick in,” Eleweayna said. “The body’s natural reflex is to try to minimise the impact of the fall, and subsequent injury to internal organs.” The severity of the injuries depends, on several factors, such as an individual’s age and weight, coupled with the height of the fall and the surface that breaks the fall. “These variables will ultimately determine the effect of the fall,” said Eleweayna. “In young persons, the skeletal system is still in the process of growing, and so the bones are still not fused, which makes them vulnerable.” Additionally, he said, because the person’s feet are swept out from under them, they are more likely to land on the upper part of their body – potentially on the neck or head. “This could lead to internal injuries to vital organs such as the brain and the lungs,” he said. “There could also be damage to the neck. There is a great chance of moderate-to-serious long-lasting injury occurring” Eleweayna said parents should warn their children against participating in the challenge. Cayman Compass reached out to CIFEC and the Department of Education Services for comment. Questions were unanswered by press time about efforts to dissuade students from participating in the challenge, as well as to educate parents about the potential dangers. A spokesperson for the Royal Cayman Islands Police Service said that if the victim of a skull- breaking challenge was caught unaware, and/or was unwilling to participate, and is injured in the process, a multi-agency decision will be made to determine the outcome. Depending on the severity of the injury, the parties involved could be charged with assault and/ or committing a negligent or reckless act. ANDREL HARRIS aharris@compassmedia.ky Three men charged in connection with the death of Dinesh Asanka Fernando Wannukawatta-Waduge have all denied the charges laid against them. Appearing in the Grand Court on Friday, Jeremy Ralph Parchman and Shimar Kelly both pleaded not guilty to a single count of manslaughter. Jeremy’s brother, who has appeared on the same indictment, faces a single charge of assault causing actual bodily harm. He pleaded not guilty to assault ABH, but guilty to common assault. Wannukawatta-Waduge, 36, died on 30 Nov. last year outside Bananas restaurant and bar. According to court documents, CCTV video showed the victim talking to a woman who was at the bar with one of the defendants. While speaking to the woman, he leaned towards her and rested his hand on the middle of her back. The documents revealed that he was “struck almost immediately” by one of the defendants. As he staggered away, he was pushed by several people, one of whom was identified as one of the other defendants. After the victim was escorted outside, another incident is said to have transpired. However, the camera’s view was obstructed and so that incident was not recorded. All three defendants were released on bail and a two-week trial has been set for June. Bananas death trio back in court ANDREL HARRIS aharris@compassmedia.ky Cayman Marl Road administrator, Sandra Teresa Hill, pleaded not guilty to allegations of harassment in the Grand Court. Prior to entering her pleas on Friday, 21 Feb., prosecutor Darlene Oko told the court the Crown had reviewed the charges against Hlll and they were ready to proceed. “After having made a minor amendment to the indictment, the Crown can now state its position on the record,” said Oko. “The Crown served, by way of a letter, to my friend (Clayton Phuran, Hill’s attorney) yesterday our intention, which is to proceed on either one or the other of the two charges. The Crown would also be willing to accept a guilty plea to one of the charges.” Hill faces one count of using an ICT (information and communications technology) network to abuse/annoy/harass, and another count of causing harassment, alarm or distress. The charges allege that, between 1 Feb. and 25 Feb. 2019, Hill used an ICT network and/or social media applications, as well as podcasts, to harass, annoy or abuse businessman Matthew Leslie. A three-day judge-alone trial was set for 25 May. Prosecutor Oko said because the incidents were so similar, and because they occurred within the same timeframe, the Crown would not be going to trial on both charges; instead one of the charges would be left on file. During the previous court hearing, on 7 Feb., the court ordered the prosecution to review the charges, after Phuran highlighted that they were brought under the wrong section of the law. On Friday, after Oko outlined the crown’s position, Phuran initially expressed some trepidation about accepting the Crown’s offer. “My Lord, by listing both charges on the indictment, we say it is prejudicial,” said Phuran, before drawing the court’s attention to a Canadian case where a defendant was to be sentenced for multiple charges arising out of the same offence. “I disagree,” said Justice Philip St John- Stevens. “If you have a case where a defendant is tried for attempted murder, as well as assault causing grievous bodily harm, and simple assault, all rising from the same incident and the defendant is convicted, the lesser charges would be subsumed by the more severe. Hill was released on bail. Marl Road host denies harassment allegations Dr. Obinna Eleweanya MICHAEL KLEIN mklein@compassmedia.ky The local financial services industry is sanguine that the EU’s decision to put the Cayman Islands on its list of uncooperative jurisdictions in tax matters will be short-lived. At least for now. Most advisors to hedge funds like offshore law firms or fund- governance firms describe the move as a temporary “technical listing” that is merely the result of bad timing. In its ongoing dialogue with the EU, Cayman’s government committed last year to reform, before the end of 2019, the supervision and regulation of Cayman funds, particularly those with few investors or close-ended funds that were exempt from registration with the Cayman Islands Monetary Authority. However, this deadline passed, and lawmakers enacted a new Private Funds Law and amendments to the Mutual Funds Law on 31 Jan., with the new legal framework not entering into force before 7 Feb. This was three days after a meeting of the EU Code of Conduct Group on Corporate Taxation, which assesses third countries for Europe’s tax list. EU finance ministers concluded accordingly that Cayman had not delivered on its commitment on time. The government has in response reaffirmed that it would constructively cooperate with the EU to achieve a delisting as soon as possible. The next review of the tax list is scheduled for October. Cayman law firms and other service providers have advised their clients that the impact of the tax blacklisting will be limited at this time. The EU council itself has asked member countries to implement at least one non-tax and one tax- based measure for the treatment of transactions, or individuals dealing with, uncooperative tax jurisdictions by the beginning of 2021. In the non-tax area, these defensive measures include limiting the access to the European funding for sustainable development or strategic investments, as well as access to the general framework for securitisation. Transactions with listed countries may also be subject to stricter monitoring and taxpayers who benefit from listed regimes or use structures or arrangements involving these jurisdictions are more likely to be audited. In November 2019, the council also invited member states to apply controlled foreign company (CFC) rules, withholding tax measures, limited tax deductibility, or a limited participation exemption on profit distribution to listed countries. Offshore law firm Maples informed clients that, in practice, EU member states already apply some or all of these measures, particularly with regard to jurisdictions which do not have a tax treaty network and operate a tax neutral system, such as the Cayman Islands. “For example, Ireland applies withholding tax on interest payments if the recipient is not resident in an EU Member State or a country which has signed a tax treaty with Ireland, subject to certain exceptions. Ireland also operates CFC rules and has rules restricting tax deductibility on certain payments which are not subject to tax in the recipient jurisdiction,” Maples wrote in a client advisory. “Finally, Ireland does not provide for a participation exemption on profit distributions to Irish companies. Accordingly, it can be said that Ireland already applies those four measures.” EU member states also already apply defensive administrative measures, such as increased transaction monitoring and audits, to jurisdictions without a tax treaty network or those that are tax neutral, like the Cayman Islands, Maples wrote. This means in practice that the EU blacklisting does not trigger any automatic sanctions or penalties. Fund governance firm DMS noted in a client advisory that unless EU members provide otherwise, Cayman funds can continue to be marketed in the EU and EU investors can stay invested or increase their investment in Cayman funds. Nevertheless, Cayman’s listing as uncooperative does have a negative impact on its reputation. European institutional investors, for instance, might find it even more difficult to invest in Cayman-based fund structures than they already have. US law firm Ropes and Gray said in a note to clients that “the blacklisting of the Cayman Islands is likely to be short-lived” and fundamental changes to existing structures should therefore be considered in this context. But the firm also noted that some investors have increased reputational concerns about investing in Cayman funds. “New funds, or funds looking for new investors, may therefore wish to consider an EU alternative for the fund vehicle,” the law firm said. Some limited partners may also have increased concern “over the audit risk and risk of increased tax leakage if there are Cayman blockers or other Cayman corporate vehicles in fund structures”. Ropes and Gray advised that funds may wish to consider alternative jurisdictions for such vehicles if the Cayman Islands remains on the blacklist. Additional compliance costs in connection with Cayman’s recently introduced economic substance law are another factor that funds should factor in, the law firm said. Israeli newspaper Haaretz raised similar concerns regarding Cayman’s new fund regime which could impact venture capital funds that invest in the country. The new Private Funds Law, the article suggested, requires private equity and venture capital funds to hand over more information about their managers and limited partners, as well as data that these funds do not typically like to share. Independent valuations, currently done by the general partner of the fund, annual audit reports, and third-party custodians and administrators all add costs, the Haaretz article said, quoting partners at Israeli law firm GKH. These factors, together with entities from blacklisted countries facing difficulties to raise money from European institutional investors, could “force” funds to move their place of incorporation “possibly even to Israel”, the newspaper speculated. About 80% of venture capital funds active in Israel are incorporated in Cayman. Nevertheless, Cayman’s listing as uncooperative does have a negative impact on its reputation . EU blacklist: Reputational pressure for October removal Venture capital funds that invest in Israel’s high-tech start-ups located in Tel Aviv or Herzliya, pictured, may be forced to relocate from the Cayman Islands, following its tax blacklisting by the EU, newspaper Haaretz speculated. cayman compass 8 B business MONDAY, 24 FEBRUARY 2020Daily Horoscope THE LOCKHORNS By Bunny Hoest & John Reiner ARIES (MARCH 21 TO APRIL 19) Even though you might be working alone or behind the scenes, you are high-energy and very produc- tive today! You’re pulling strings and making things happen. TAURUS (APRIL 20 TO MAY 20) This is a social day! You might take charge of an organization or group. If you’re involved in sports, especially competitive sports, you will be invincible! GEMINI (MAY 21 TO JUNE 20) You’re in take-charge mode today. Even if you are not the boss, you will temporarily assume this role because you have a natural sense of authority. CANCER (JUNE 21 TO JULY 22) Today you are enthusiastic about learning something new. You also might be excited about politics, religion or philosophy because your mind is so alive! LEO (JULY 23 TO AUG. 22) Today you want to see ways to use the resources of others to be of benefit in a broader way. You will encourage charitable activi- ties and avenues to help others. VIRGO (AUG. 23 TO SEPT. 22) This is a great day to schmooze with partners, close friends and members of the general public. People want to be in your company because you are high- energy, warm and positive. LIBRA (SEPT. 23 TO OCT. 22) This is a super productive day for you because you have tons of energy to work hard. Further- more, you will be happy and proud of your accomplishments. Bravo! SCORPIO (OCT. 23 TO NOV. 21) This is a playful, fun-loving, cre- ative day. Artists will flourish. Parents will enjoy the company of their children. Romantic liaisons will be saucy and flirtatious. SAGITTARIUS (NOV. 22 TO DEC. 21) A family discussion will be vibrant and productive today, especially with a parent or someone in a position of authority in the family. It’s cards-on-the-table time! CAPRICORN (DEC. 22 TO JAN. 19) This is a powerful day for those who write, sell, market, teach or act, because your communication style is proactive, direct and con- vincing! Who can resist you? (No one!) AQUARIUS (JAN. 20 TO FEB. 18) This is a strong day for business and commerce because you are focused on financial matters, cash flow and earnings. You are confident about your big ideas! PISCES (FEB. 19 TO MARCH 20) Today you have amazing energy to do what you want. This is why others will listen to you and follow your lead. You are the Pied Piper! BY FRANCES DRAKE MONday, FEbRuaRy 24, 2020 CuRTIS By Ray Billingsley bLONdIE By Y. Marshall PEaNuTS By Charles M. Shulz HägaR THE HORRIbLE By Chris Browne THE aMaZINg SPIdERMaN By Stan Lee and Alex Saviuk cayman compass 9 MONDAY, 24 FEBRUARY 2020Next >