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PM Readying To Crack Down On Smuggling

Prime Minister Hubert Ingraham has expressed concern at the level of smuggling in the country and he is considering blocking off Potter’s Cay Dock overnight to reduce the problem.

“There are many smugglers in The Bahamas. They find all sorts of means of doing so. I’m trying to find out now how I can block off Potter’s Cay at certain hours of the night so that people stop coming in there after midnight, and whatever hour it is, offloading containers with all manner of things on them claiming that they came from the Family Islands and the rest of it etc.,”said Ingraham yesterday during a visit to the Arawak Cay Port which is under construction.

“We’re going to seek to minimize the leakage and if we’re able to do that we will be able to reduce the cost of customs duty to you and all the other people who pay. That’s the idea.”

Ingraham visited the $70 million port project site accompanied by most of his Cabinet. The new port is a joint venture between the government and 20 shipping companies. The government owns 40 percent of Arawak Cay Port Development Company(APD); the shipping companies 40 percent; and the remaining 20 percent will be issued to the public via a share offering.

The new port will have a central checkpoint for the clearance of goods coming into New Providence rather than the multiple points that currently exist.

The government hopes that focusing the resources of the Department of Customs and other state regulatory agencies, at one commercial site will lessen leakage of revenue.

However, the Ingraham government may also have to intervene more aggressively in the affairs of the Department of Customs if the problem of smuggling is to be addressed. Earlier this week, Customs Comptroller Glenn Gomez admitted to The Nassau Guardian that corruption within the state agency appears to be getting worse, despite efforts to crack down on the problem.

“I think if you compare 2010 with 2007, yes there is an increase with corruption,” he said. “And I think it’s driven really by the businesses. A lot of persons want to attempt to beat the system. They seem to get a high out of not paying their taxes.”

Gomez also said there is a concern with unregistered containers entering the country by boat.

He explained that if a container is not properly entered on a ship’s manifest, it is not that difficult to sneak it into the country.

APD Chairman Jimmy Mosko said the new port at Arawak Cay is about 15 percent completed. The entire project is scheduled to be done in August 2011. However, parts of the new port will become operational by the end of the year. More than 30 percent of containers to New Providence already land at Arawak Cay.

When the port is completed commercial shipping will cease in downtown Nassau.

The government has identified the end of commercial shipping to downtown as a major component of its initiative to revitalize the city center.

The government has already extended tax breaks for downtown construction through the City of Nassau Revitalization Act.

APD said the new port will be in compliance with international security regulations.

It is projected that around 90 acres will remain at Arawak Cay for future development, said Ingraham.

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