Editorial
Finance andChildren at Stake
There is just simply no other way to sayit: Our Beloved Isles Cayman has gone from crisis to crisis. Thereis not much more that the people of this land could take, in termsof some relief of the hopelessness they have been subjected toin year 2000 and as we come to the close of 2001.
The joyous mood which should have been associatedwith the announcement of grants for Caymanian Status and the commitmentby the Leader of Government Business to take to the Legislaturea measure which will give 1000 persons residency with the rightto work, have been negatively tempered with budget measures whichhave come under severe criticism by the country's business sectorleaders, and an announcement that children now being cared forat the Cayman Islands Marine Institute (CIMI) will now be sentto prison in an effort to 'save money'.
It is a known fact that when a patient issick such as the Cayman Islands economy and Government'sability to balance its budget - any prescribed medicine to remedythe malady must be taken in measured doses over a period of time.Any attempt to take the full bottle of medication all at onceor in a shorter than recommended period, will result in very tragicconsequences.
Such is the attempt by Government to tryand balance the 2001 budget with the announced fees, which wereincreased in such huge proportions that the Financial Industry,the second pillar upon which the Cayman Islands is dependent,is facing an official infliction. This will certainly add to thealready brittle state of the Industry because of the recent signingof an agreement with the US and the UK governments to report onthose countries' tax cheats.
It is understood that the seven retail bankswith 'A' licenses suggested that their fees could be raised from$123,000 to $200,000 for renewals. Instead this is scheduled tobe raised to $400,000 an increase of well over 300 percent.Other 'A' Class banks, with restricted licenses (from doing businesslocally) will also now be subjected to this humongous increase.For the past few days, the discussion has been that these banksand others will no doubt opt not to renew their licenses, in lightof the added cost for maintaining a corporate office or nameplatepresence in Cayman.
We offer that our already sick economy withone already weak leg, that of tourism, will surely be furtherimpacted and designated to the handicapped parking spaces of theworld's economic recovery, if some alternative measures otherthan the proposed hike in fees on the other leg, our financialindustry services, are not sought by which the budget can be balanced.
It is incredible that in just 28 days onthe 6th of December, when the 2002 budget was announced, followinga change in the Administration of Government on the 8th of November- that the country is now facing an even bigger crisis, not withstandingthe wrath of the Caymanian and non-Caymanian partners in privatesector, incurred by the proposed imposition of these revenue matters,including work permit fees.
At the other end of the big stick beingwielded, it appears that even the very children who may not havethe security of a family unit and gone astray in their teens,being counseled and trained to become good corporate adults, willnow be sent off to be 'walled off" in a prison populationwhich is home to some of our society's worst offenders: murderers,rapists and drug dealers.
It is appalling that anyone in Government,especially one who declares a degree in sociology, should be partyto this remedial measure in an effort to save money, and ignorethe needs to save our youth. We suggest that it will be far betterto take the $200,000 or so (we understand that this figure ismore like at least $2 million) budgeted for an overseas companyto operate the CIMI, be re-directed to our more than willing localservice organizations to construct a remand centre, with Northwardprisoners' help and the re-examination of the contracts of someof the overseas personnel, who are now pulling down more than$100,000 per year.
Furthermore, the suggestion that the $200,000saved by sending kids to share a prison compound will be givento sports just does not make sense. This certainly does not fitwith the model of self-sufficiency, which maintains: "Itis better to teach a man (a child or a footballer) to fish, thanto give him a fish."