Beautiful Virgin Islands

Monday, Aug 04, 2025

Auditor General's report indicates that former FS Neil Smith acted negligently in BVI Airways deal

Auditor General's report indicates that former FS Neil Smith acted negligently in BVI Airways deal

Former Financial Secretary under the NDP administration Neil Smith, who was the government’s official liaison in the controversial BVI Airways deal, has been accused of acting negligently in his decision-making on a number of instances.

The Office of the Auditor General levelled these accusations in its special report about the former government’s failed $7.2 million deal with the airline.

The report revealed that Smith broke protocol on several occasions and failed to properly ventilate significant matters before making decisions.

The Auditor General’s report further said Smith facilitated for the airline’s operator parties – which included investor Bruce Bradley, Jerry Willoughby of BVI Airways and Scott Weisman of Colchester Aviation – to have ongoing high-level access and support from within the government.


Conflict of interest

According to the report, the decision to have Smith as government’s official liaison while still serving as the Financial Secretary clashed with the necessary checks and balances that were needed in the oversight of the deal.

This, the report said, led to unilateral decisions being made on important matters.

“The assignment of the Financial Secretary to facilitate the venture eliminated an important check that should exist between project execution and project financing. This created a conflict whereby the Financial Secretary’ s obligation to ensure the successful launching of the project may have obscured his public duty as the primary custodian of government’s finances,” the report stated.

It added: “The acute level of scrutiny that should have been applied to the financial and other issues of risk presented by the operator parties was replaced with insistent action to accommodate their requests.”


Instances identified with $6.8 million spent prematurely

The Auditor General’s report pointed to some of the decisions made by Smith after the government failed to obtain what is known as a ‘letter of credit’, which was requested by the operator parties.

A letter of credit is a document from a bank that guarantees payment (of the $7.2 million).

“That failure [to get the letter of credit] was followed by early payment of $4.8 million to the operator parties, the release of the escrow payment of $2.0 million without Cabinet authorization in January 2017, and active pursuit of a public loan guarantee and compensation payments requested by the operating parties. These were decisions made by the Financial Secretary as project liaison rather than public custodian,” the report said.


Government’s nominated director left in the dark

Additionally, Ryan Geluk, who was nominated by government to sit on the Board of Directors of the BVI Airways, said besides attending one meeting with the former Financial Secretary, he was not provided with any information regarding the airline’s operations.

“The only set of financial statements received were unaudited and for the 15 months pre-operational period from the commencement of the venture to 31 March 2017,” Geluk stated in the report.

After almost three years, a full criminal investigation has been launched into the failed BVI Airways deal which cost taxpayers $7.2 million.

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
OpenAI’s Bold Bet: Teaching AI to Think, Not Just Chat
Tesla Seeks Shareholder Approval for $29 Billion Compensation Package for Elon Musk
Nvidia is cutting prices on its RTX 50-series graphics cards after sales slowed and inventories piled up
Ghislaine Maxwell Transferred to Minimum-Security Prison Amid Ongoing DOJ Discussions
U.S. Tariffs Surge to Highest Levels in Nearly a Century Under Second Trump Term
Matt Taibbi Slams Media for Role in Russiagate Narrative
Pilots Call for Mental Health Support Without Stigma
All Five Trapped Miners Found Dead After El Teniente Mine Collapse
Ong Beng Seng Pleads Guilty in Corruption Case Linked to Former Singapore Transport Minister
BP’s Largest Oil and Gas Find in 25 Years Uncovered Offshore Brazil
Italy Fines Shein One Million Euros for Misleading Sustainability Claims
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
Declassified Annex Links Soros‑Affiliated Officials and Clinton Campaign to ‘Russiagate’ Narrative
UK's Online Safety Law: A Front for Censorship
Nationwide Protests Erupt in Brazil Demanding Presidential Resignation
Parents Abandon Child at Barcelona Airport Over Passport Issue
Mystery Surrounds Death of Brazilian Woman with iPhones Glued to Her Body
Bus Driver Discovers Toddler Hidden in Suitcase in New Zealand
Switzerland Celebrates 734 Years of Independence Amid Global Changes
U.S. Opens Official Investigation into Former Trump Prosecutor Jack Smith
Leaked audio of Canada's new PM Mark Carney admitting the truth about the Net Zero agenda: "We're gonna make a lot of money off of this."
China Enforces Comprehensive Ban on Cryptocurrency Activities
Absolutely 100% Realistic EVO Series Doll by EXDOLL (Chinese Company) used mainly for carnal purposes
World Economic Forum founder Klaus Schwab: "In this new world, we must accept... total transparency. You have to get used to it. You have to behave accordingly. But if you have nothing to hide, you shouldn't be afraid."
Meet Mufti Hamid Patel, head of Office for Standards in Education in Pakistan
George Soros tells the World Economic Forum: "President Trump is a con man and the ultimate narcissist, who wants the world to revolve around him."
Hamas are STARVING the hostages.
Decline in Tourism in Majorca Amidst Ongoing Anti-Tourism Protests
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
Poland Begins Excavation at Dziemiany After New Clue to World War II‑Era Nazi Treasure
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Threatens Canada with Tariffs Over Palestinian State Recognition
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Trump Sues Murdoch in “Heavyweight Bout”: Lawsuit Over Alleged Epstein Letter Sets Stage for Courtroom Showdown
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
Trump Administration Finalizes Broad Tariff Increases on Global Trade Partners
J.K. Rowling Limits Public Engagements Citing Safety Fears
JD.com Launches €2.2 Billion Bid for German Electronics Retailer Ceconomy
Azerbaijan Proceeds with Plan to Legalise Casinos on Artificial Islands
Former Judge Charged After Drunk Driving Crash Kills Comedian in Brazil
Jeff Bezos hasn’t paid a dollar in taxes for decades. He makes billions and pays $0 in taxes, LEGALLY
China Increases Use of Exit Bans Amid Rising U.S. Tensions
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Procter & Gamble to Raise U.S. Prices to Offset One‑Billion‑Dollar Tariff Cost
House Republicans Move to Defund OECD Over Global Tax Dispute
Botswana Seeks Controlling Stake in De Beers as Anglo American Prepares Exit
Trump Administration Proposes Repeal of Obama‑Era Endangerment Finding, Dismantling Regulatory Basis for CO₂ Emissions Limits
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
A family has been arrested in the UK for displaying the British flag
Mel Gibson refuses to work with Robert De Niro, saying, "Keep that woke clown away from me."
×