December 6: Government unveiled its new drugs master plan that gave equal weight to reducing demand and supply. Social Rehabilitation Minister Dale Butler said the five-year plan, which had been two years in the making, would bring together all the agencies including Police, customs and the department of National Drug Control in one coordinated effort. He said greater acceptability and availability had increased the risk of drug abuse for young people. Mr. Butler added: "All of this has caused an unprecedented upsurge in the prevalence of illicit drug use — mainly cocaine and heroin, as well as drug-related criminal activity associated with illicit drug trafficking." The plan called on churches, schools, communities, business and families to help the drug fight as Government tries to slash drug use and the health damage and crime that goes with it while increasing the number of successfully treated addicts.

Education reform, a crackdown on crime, scrutiny of protectionist immigration policies and candid discussions on race — those were the Christmas wishes of the Chamber of Commerce. Outgoing Bermuda Chamber of Commerce President Philip Barnett said Bermuda must increase the value of its "human capital" in order to remain a leader rather than a follower in international business. "Innovation was what allowed Bermuda to create a system of tourism that became not just the envy of the world, but the template for other destinations around the world to copy. However, not only did those jurisdictions copy it, but they innovated and exploited. Bermuda, to all intents and purpose, continued doing the same old, same old."

December 10: The Progressive Labour Party unveiled its election manifesto on December 10 that pledged to provide free day care for Bermudian families, free bus and ferry rides for all and improved health insurance for seniors. Premier Ewart Brown told party supporters gathered at Alaska Hall that the Patterns of Progress platform contained no "grandiose promises", but set out a vision for keeping the Country on the right track under the PLP. He said the 48-page document contained "two bold initiatives designed to significantly enhance the quality of life for Bermudians at their earliest years and during their golden years".

Postal workers intercepted a package addressed to Premier Ewart Brown containing a bullet and a threatening letter. Security was stepped up around Dr. Brown as a result of the discovery at the airport sorting office.

December 13: A Special Development Order was granted for a multi-storey affordable housing complex at Southside, without a planning application ever being submitted. The SDO, for the Bermuda Housing Corporation, meant that those who wished to object to the 106-condominium development would not be able to make their views known. Critics said it was another example of Government overriding the planning process. Stuart Hayward, chairman of the Bermuda Environment and Sustainability Taskforce (BEST) said: "I'm distressed that it (the SDO) seems to be bypassing the process. This is similar as to what was done for Loughlands, where an SDO was granted without a Planning application being made.

December 14: Japan's biggest insurance company was preparing to buy Bermuda-based Kiln for $902 million. Ending a week of speculation about who was involved in talks with the Lloyd's of London insurer, which recently moved its base to Bermuda, Japan's Millea Holdings revealed it was seeking to buy the company and has already secured support from shareholders who control more than 20 percent of the company. Tokio Marine & Nichido Fire Insurance Company, which is a unit of Millea, intended to seal the deal as the Japanese insurer seeks to expand its operations significantly beyond its home country. The proposed bid price represents 1.7 times Kiln's book value.

The Royal Gazette believes that it was the subject of what is known as a "denial of service" attack by computer hackers designed to crash the website. Additional measures were taken to restore service and protect the website, and these will be continually improved upon. An investigation has also been launched into who was responsible for the attack. "We are tremendously disappointed that someone has decided to attack our website and deny our readers in Bermuda and abroad up to date news on the Island, especially in the middle of an election campaign," Editor Bill Zuill said last night. "This is a violation of international Internet ethics rules and of the laws of many countries. We will be making every effort to find out who was responsible.

December 15: An official complaint was made to Police alleging that cheques from a company part owned by Progressive Labour Party (PLP) candidate Zane DeSilva were forged. The complaint was made on behalf of Bermuda Composite Construction (BCC) to fraud officers about what was understood to be more than 50 cheques from the company all bearing the name of Southampton East Central candidate Mr. DeSilva and one of the company's other directors. It was believed that the second name on the cheques — which date from 2001 to 2004 — was the one alleged to have been forged. A source told The Royal Gazette: "A number of them were paid out to subcontractors. Many were to construction workers."

December 18: Arbitrators ruled that Pro-Active, the company sacked by Government from the new Berkeley Institute site, owed Government around $13 million. According to sources close to the secret arbitration process, the decision was handed down on Friday. Pro-Active had 28 days to pay from that date, according to the insiders, who also revealed that a company set up by the Bermuda Industrial Union (BIU), Union Asset Holdings, owes $6.5 million of that sum. That figure related to the performance bond for the project which is akin to an insurance policy, and was underwritten by Union Asset Holdings. The sources told this newspaper the performance bond could not be called until an agreed sum was settled upon. The arbitrators also awarded a legal costs to Government. This, The Royal Gazette understood, would be a percentage of the total legal costs.