And the result has been a long, drawn-out fiasco with the Baha-Mar $2billion project now on hold "indefinitely". PM Hubert Ingraham may be making the same mistake as Christie in dealing with foreign investor Rami Weisfisch. Israel-born Weisfisch is in talks to buy the Four Seasons hotel and casino at Emerald Bay in Exuma for $130million. If he seals the deal, Weisfisch will reportedly put down less than $5million. But Weisfisch also has no experience of developing resorts. What's more, Weisfisch, 61, reportedly turned down then-PM Christie's offer to do the $2billion Cable Beach project. Weisfisch is considered to be scandal-tainted by the controversial purchase of cobalt from the Zambian Government by his company, Metals Resource Group (MRG). A Zambia Parliamentary Inquirty into corruption concluded that the cobalt sale to MRG had cost the Zambian Government $60million. Weisfisch's business holdings are now registered as a trust held by PLP MP and lawyer Philip "Brave" Davis. Weisfisch donated big bucks to the PLP election campaigns in 2002 and 2007. He received permanent residency here shortly after the PLP won the 2002 election. Weisfisch is now a tax exile from America. He gave up his U.S. residency status a couple of years ago. The IRS, or U.S. taxman, is reportedly looking into Weisfisch's business affairs. The IRS is checking to see if Weisfisch has paid all taxes on his world-wide business dealings over the last 20 years. Weisfisch reportedly does not travel to the U.S. any more. HIs wife and children live in the U.S. He has a $12million manion in Palm Beach. Now long ago, he bought land by the sea in the Delray Beach area on the understanding that he would develop it into a resort. So far, Weisfisch has done no development. The land stands vacant.
He reportedly bought the land at a bargain price after talks with his friend, the Mayor of Palm Beach. So, like Izmirlian, Weisfisch is sitting on prime land which he has failed to develop as allegedly agreed. Such investors usually come out of this type of situation on top. They sell the land that they bought at a cheap price for several times more than they paid for the real estate.
This is known as "flipping" an investment to make a profit.
Presumably, Hubigetty gets the picture. He would be wise to tread carefully with PLP backer Weisfisch. After all, the PM rejected Weisfisch's first bid to buy Emerald Bay. But now that hte PM is desperate for foreign investors to boost the slumping economy, he's talking again to Weisfisch on Emerald Bay.
Originally published in The Punch, 6 August 2008.
