Britain’s Minister for the Overseas Territories, Chris Bryant. *Photo credit: independent.co.uk

LONDON, England, CMC – Britain’s Minister for the Overseas Territories, Chris Bryant, has given the leaders of five British Overseas Territories (BOT) why London took the decision to intervene in the governance of the Turks and Caicos Islands and removed the elected government in that territory earlier this year.

Bryant outlined the position during a meeting with Montserrat Chief Minister Reuben Meade, Chief Minister Osbourne Fleming of Anguilla; Premier Dr. Ewart Brown of Bermuda; and  McKeeva Bush, Premier of the Cayman Islands during the Overseas Territories Consultative Council (OTCC).

The British minister met separately with Ralph O’Neal, the Premier of the British Virgin Islands.

“We had a good discussion, during which I explained why the UK Government had felt it necessary to take firm action in the Turks and Caicos Islands. We want the maximum amount of self-government possible and we have no desire to micro-manage the economy in any of the OTs,” said Bryant.

“But I am also accountable to Parliament and it would be negligent of me if we did not take a keen, active interest in the economic and social well-being of the OTs. That’s why we will step in when we have concerns about poor financial management and inadequate governance. I look forward to the next two days when we discuss these and other issues in more detail.”

The discussion focussed on the extent and nature of the British government’s contingent liabilities in the Caribbean Overseas Territories and their role in managing them.

Britain had said its action would last at least for two years and follows the conclusion of a one-man Commission of Inquiry, which reported that it had found “clear signs” of corruption in the government.

At the centre of the corruption claims is former premier Michael Misick, who is alleged to have amassed a multi-million-dollar fortune since he was elected in 2003.

According to the inquiry team’s document, the corruption appears to have consisted of “bribery of Ministers and/or public officers by overseas developers and other investors, so as to secure Crown Land on favourable terms”.

The Commission also discovered “serious deterioration – from an already low level – in the territory’s systems of governance and public financial management and control”.

The OTCC was established as a result of the 1999 White Paper “Partnership for Progress and Prosperity” on the UK’s relationship with the Overseas Territories.

The council, which meets once a year, was set up as a forum for discussion of key policy issues between British ministers and Heads of BOTs.

Informed sources told the Caribbean Media Corporation (CMC) that at the meeting in London, the leaders of the BOTs will be told that offshore financial services, where they exist, must comply fully with European Union directives and the requirements of the Organisation for Economic Cooperation and Development (OECD) as well as the Financial Action Task Force (FATF) on money laundering and terrorist financing for judging non-cooperative jurisdictions.

In addition, Britain is expected to place a curb on the BOTs capacity to borrow.

“This means that the UK government will set borrowing limits on the BOT governments beyond which they will not be allowed to go,” the sources said, noting that the debt of overseas territories “is a contingent liability for which the UK government becomes responsible in the event of a default, and the UK government will not take on any responsibility beyond what it calculates the governments can manage.

Prior to the start of the talks in London, Premier Brown said the overseas territories were “ready to speak with one voice”.

“We feel it’s important that we have these issues discussed when we are all in the room and they have all agreed to that. We will all be in the room. We are going to learn and the British are going to learn too,” he said.