Baha Mar Developer: Appointment of Receiver Further Destroys Hope for Resort

November 2, 2015By: Newswire

BMD Holdings, the developer of the Baha Mar resort project, recently issued a statement on behalf of its CEO, Sarkis Izmirlian, in regards to Export-Import Bank of China‘s decision to place Baha Mar into receivership.

“The appointment of a receiver by the Export Import Bank of China continues the unfortunate pattern of disastrous actions taken by other stakeholders since Baha Mar has filed for Chapter 11 that have moved Baha Mar further from completion and are now destroying any hope that Baha Mar, as originally conceived for The Bahamas, can become a reality,” said Izmirlian. “I, along with thousands of Bahamians, have worked very hard to make Baha Mar a reality.”

The Nassau Guardian reported that The Bahamas Supreme Court on Friday approved a request from the Export-Import Bank of China to place the troubled Baha Mar megaresort into receivership.

Professionals from Deloitte and Touche, including Raymond Winder, were appointed to oversee the process. Winder said it remains unclear where this leaves Baha Mar developer Sarkis Izmirlian.

This development comes nearly two months after joint provisional liquidators were appointed. Last week, more than 2,000 Baha Mar workers were laid off.

“However, the Government of the Bahamas, in concert with China Construction America and CEXIM, undertook a campaign that resulted in the Chapter 11 being dismissed,” said Izmirlian. “The effect of this effort by the government of the Bahamas, China Construction America and CEXIM now leaves Baha Mar in the position where CEXIM bank is now the owner of Baha Mar; most of its employees have been laid off; widespread collateral damage to hundreds of businesses; and its assets are being further impaired.

“Even under these circumstances, I have continued to try to make proposals to achieve a consensual resolution of the issues that would enable Baha Mar to be properly completed and to open,” continued Izmirlian. “Unfortunately, the other stakeholders remain more focused on legal and political maneuvers than solutions. Neither CEXIM appointing a receiver, nor a winding up/ liquidation of Baha Mar, serve the best interests of any party and certainly not those of the people of The Bahamas. At the end of the day, whilst we want to see a beautiful resort open, the goal is also a thriving Bahamas.”

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