AmbergrisCaye.com Home Forums Talk Belize Chat Area Fountain Blue Scandal

Bywarren is right. Fountain Blue was a project designed from Day 1 to rip off the Belizean people. A businessmen (who happened to be the Belize Ambassador to Lebanon and is orignally Lebanese) got together with the Government of Belize in a cozy little pact.

He bought the land where Fountain Blue is located for $330,000US (later him and his buddies claimed that it cost 2.5 this amount)

The hotel cost about US1.5 million to build.....perhaps less. Even at this price the cost per square foot for such awful construction is too high.

The amount "borrowed" from DFC/Belize Social Security (ie. the Belizean people) was 4.5 million US! In other words, almost 3 million US was unaccounted for.

For the Grand Opening the PM, minister of finance and a bunch of other government high rankers were invited. The opening speech by the "owner" included remarks that the whole project cost US5.5 million/11 million Belize. This would have made the price per square foot of building about $600.00US!! Typical cost for first rate construction on Ambergris Caye is about $65-90US per square foot, and this place was built CHEAP.

The government even granted the owner(s) a Duty Free Concession. It is STRONGLY rumoured that the missing US3 million was used to import hardware stock for the owner's hardware stores...of course, all duty free.This was then sold to the people of San Pedro at the usual inflated prices we pay for this kind of stuff. But, no matter what happened to the missing US3 million, it is certain that it was not used on the hotel construction.

The original owner (Simon of San Pedro Hardware) handed over the paperwork of the hotel to his cousin/brother (Mike of San Pedro Supermarket) a little while ago.

As soon as THAT transaction was legal the bombshell was dropped......Mike (ie. all involved) couldn't make the payments.

So, DFC/Social Security/Goverment of Belize was in debt 3 million US dollars. But, of course, it was designed this way from the start. Fountain Blue was never meant to be anything but a moneymaking scam for the owners and involved individuals in the Government and Social Security of Belize.

It's not over yet. Rumour has it that a favoured government of Belize minister will likely obtain Fountain Blue at a knockdown price at auction....it'll be fixed that way. I've heard Fonseca or someone in a similar position will be the "lucky" bargain hunter.

[This message has been edited by truebelize (edited 02-02-2002).]

boo, hiss. life sucks sometimes. people suck sometimes.

ya know, some people call me naieve or liberal, but i believe there are still some truely good people left in this world. guys, am i wrong? ~:>(

The good news is that you are right.

The bad news is that none of them are running any governments anywhere.....

Sorry....there's a passage that should read "DFC/Social Security/Goverment of Belize was in debt 3 million US dollars." and not 3 million Belize dollars.

Susan, in response to your post on the AC section....of course there is no paper trail for any of this. Unfortunately Government and their pals and the opposition and their pals are all lawyers...they own the courts here and no one will be brought to account.

It's scams like this that put the Belize dollar under the pressure it finds itself. I live in San Pedro and I don't really follow events countrywide, but if scams like this occur in little old San Pedro where 3 million US just dissappears from the people into a few pockets it's not hard to figure that the numbers in other parts of the country must be staggering.

It's amazing how much property and other assets government ministers accrue during their terms in office.

The loyal "opposition" will get into power some time in the next few elections and they will carry on screwing us. It is not in their interests to charge anyone in this administration with any crime.

[This message has been edited by truebelize (edited 02-02-2002).]

Maybe I am mistaken but I thought the purpose of this message board was to promote tourism for Belize and A. C.
TrueBelize---Thats what Letters To The Editors are for.
Try the Amandela or the Belize Times.
Jim

This is in reply to Jim's post on the AC section where he says:

"As a businessman and builder on A. C., I suggest we all take the report with a few pounds of salt. Anyone who actually builds moderate to upscale structures on this island are painfully aware of the cost per square foot. $100 to $120 USD minimum. If anyone says they will do it for less--hire them!!! Then hire someone else to finish it.
I think the Fountain Blue problem started when the planning board originally gave the project a permit for 4 floors-28 units.
Then the governing party changed and they recinded the permit and only let them build 3 floors.
That top floor represented the money making part of the whole project.
I assume that they were far enough along when the rules changed that they could not stop the project.
The rest is history.
I am sure the numbers worked before the newly elected town board axed the top floor.
Its all speculation anyways.
Some people can make a drama out of the trash can placements in town. Some minister probably got a free condo off of that too.
Get real!!!TrueBelize. Save your comments for an election.
There ARE real hard working businessmen and women here and sometimes shit happens.
At least I sign my comments.
Jim--Go Patriots!!!!"

MY REPLY:

I agree, Jim, there ARE (honest) hardworking businessmen here. You're probably one of them although I can tell you are not a hotelier.

Now do the math: 20 units, (it might be less, dunno, but it isn't more) 11 million dollars Belize is what they BOASTED the project cost during the grandly political opening ceremonies. 4.5US Million borrowed from DFC, of that there is no dispute. (You can ask DFC, although don't ask their Chief Loans Inspector, he was found dead last week under suspicious circumstances although I am sure that this was COMPLETELY unrelated to anything here).

$225,000US per unit for about 450sq ft per unit? Jim, even you wouldn't pay this much.

Yes, there ARE hardworking businessmen and businesswomen here, and they PAY for this crap with more taxes.

You can sign your name just fine...after all, your post, although abrasive in places, is politically correct. You can't make anyone mad with what you said, right?

By the way, I know very good contractors who'll do first class work for about $90US per square foot. You probably don't and that's fine.

But how do you justify 450.00US per square foot? (Sorry, it keeps popping into my head)

And does the downfall of FB have anything to do with the dispute over the 4th floor? They would probably have been able to borrow MORE had they got the permit to go 4 floors. In point of fact they would have HAD to borrow more to pay for the 4th floor, if there is no scam here, right?

And to reply to Jim's posting here saying that this board is supposed to be for the promotion of tourism etc....Fair enough, Jim, you are quite right, I won't mention it again.

I shall remove all of my posts on this board in due course.


[This message has been edited by truebelize (edited 02-02-2002).]

[This message has been edited by truebelize (edited 02-02-2002).]

Marty, maybe you should instruct us on the purpose of this board. If it is only intended for the promotion of tourism for Belize, then I have used this forum form purposes other than what it is intended for. I for one happen to think that exposing some of the problems that exists here might be good for tourism, and more importantly Belize, in the long run. I get sick and tired of the "Gringos come lately" and other non-Belizeans who view this country only as a place to satisfy their short term greed. Truebelize, I commend you for naming names and telling it like it is. And to anyone disputing what Truebelize says, you need to get a little better informed. Now Marty, if this is out of line, just edit me out. If not, then continue to let people express their views. And for those of you like Truebelize, do not let critizem of your views silence you.

Personally, I find the whole thing very interesting. I love San Pedro and I want to learn everything I can about, good, bad or indifferent.

I hope that we can use this forum for that purpose.

You know, bywarren and seashell, you are right! There's a heck of a lot of stuff on this General Chat forum that is not tourism related.

If I stick to the General Chat forum and stay away from the Ambergris Caye forum that means I can say anything I like so long as it is Belize-relevant, informative and truthful.

So that's what I will do.

I agree, we did ask, what was going on, it is such a beautiful place. Now we know.