Government in new bid to outlaw fronting
Government is planning to introduce tough new legislation to stop people using trusts to help non-Bermudians acquire homes and land reserved for Bermudians.
Labour, Home Affairs and Public Safety Minister Home Affairs Randy Horton said legislation with stiff fines would be brought in later this year.
He said: ?We will set up parameters so Bermudians will not be able to front for foreigners.?
Fronting is a very tricky thing to discover, even when the law is there, said Mr. Horton.
?There are always people out there looking for a way to beat the law.
?We will be making some serious consequences ? heavy fines.
?We see it as very serious, land is very limited in Bermuda and we have a responsibility to protect it. Anybody who does different must pay a serious penalty.?
The legislation was first promised last February when Government also changed regulations stopping Bermudians selling luxury housing to non-Bermudians. That policy is now being tested in the courts by Bermudian couple Alan and Vera Marshall whoclaim it thwarted their ability to sell their $45 million Tucker?s Town home GoldenEye as no Bermudian can afford the asking price.
Last year Government said there was financial evidence non-Bermudians were using fronts to buy property because annual revenue for licence fees for legitimate sales had fallen from $13 million in the late 1990s to just under $5 million, at at time there was an unprecedented demand for real estate.
In 2004 the Crown tried to prosecute an alleged sham trust which they claimed had helped buy a $3 million house in Paget but the case was dropped when Puisne Judge Ian Kawaley ruled the search warrants should be quashed.
Speaking to Mr. Horton also spoke of other initiatives planned by his ministry in 2006.
He said the second session of Parliament this year would also see Government amend fees regulations to allow seniors to get free passports. Currently Bermudian passports cost $58.
His department is also working with the Health Ministry and Attorney General?s Chambers on setting up legislation to allow a DNA database.
In Britain suspects arrested for non-minor crimes have to give a mucal swab sample with cells taken from the inside of the mouth for DNA analysis. The swab can then be matched up to DNA found at crime scenes.
Some suspects might want to offer their DNA to clear their name, said Mr. Horton.
?The question would be whether something like that would remain on the database.?
Government is now looking at practices around the world including how long DNA from suspects stayed on file.
Legislation on merging the Fire Services is also promised this year to help economise and simplify the command structure. It follows recommendations made by UK experts.
And Mr. Horton said Government would be looking at amending the Parole Board Act.
It comes after the Supreme Court ruled Government?s policy of denying drug importers the right to apply for parole until half their sentence was completed was unlawful.
Mr. Horton said: ?We are looking at my ability to actually set policy. Mr. Justice Kawaley indicated the Minister didn?t have the authority.
?We are looking at giving him that authority. Particularly as we look at the curse of drugs in this community. We want people who are involved in drugs to feel the full brunt of the law.?
