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Anti-fronting legislation and its importance in the Turks and Caicos Islands

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#TurksandCaicos, April 4, 2022 – The question all concerned citizens should be asking our government is, are they willing to work feverishly to push through anti-fronting legislation as hard as they did to push through the Beach and Coastal Vending Ordinance?

This article in part, is a reverberation of a previous one I wrote, addressing this said issue. To my knowledge, as of this date, nothing has been done to tighten the loopholes.

Whilst I’m not totally against the Beach and Coastal Vending Ordinance and its entirety, there are a few line items in the bill that needs to be repealed and amended.

The expediency in which the bill was passed without proper consultation from the general public and relevant stakeholders, it appeared to be for the appeasement of a select few.

Similarly, “fronting” is not in the best interest of our people, which prompted me to bring to light the issue again.

Currently, in TCI fronting is technically not a crime, but in some cases it is certainly a corrupt practice. Over the years, I have discovered that the easiest way for foreign investors to open a business of any kind, is by “fronting”.

For those who are not familiar with the use of this word, fronting usually refers to a term used to describe the practice of interposing a third party in a transaction or a misrepresentation of facts so as to circumvent the illusory of compliance with the laws of a country.

It’s usually a twofold benefit, it gives the locals an opportunity to become a business partner without having to come up with any sizable out of pocket funds or minimal amounts at best, depending on the scale of the business.

On the other hand, it enables the foreign investors to acquire lucrative business opportunities without having to go through the normal red tape, and eventually making it easier for them to acquire legal immigration status in the long term.

In addition, a foreign partnership company would be in a better position to expand rapidly due to greater access to capital, which could put them at an advantage because of the accessibility to unmatched resources they may have.

At the end of the day, it only superficially benefits historically disadvantaged individuals.

Fronting practices are an all-too-common occurrence in TCI, and usually rely on the misrepresentation of facts regarding the extent of a company’s compliance with its economic empowerment obligations.

In some cases, the local is only involved with the Holding company, but has nothing to do with the day to day operational or financial side of the business. This allows a shady investor to manipulate the books to their advantage.

Fronting can take many forms. For example:

  • A company may appoint a local to a prestigious position but prevent them from participating in the management or core activities of the company.
  • In some cases, they are paid considerably less than their counterparts.
  • They may also sign up as fictitious shareholders in essentially Expats owned and managed companies.

Such practices create the impression that the company has complied with the government’s obligations, but in essence it’s not.

This also allows the company to take advantage of incentives such as tax breaks or other fringe benefits that come along with being compliant.

We welcome foreign investors’ partnerships, however, if the business practices do not result in real transformation of the company or the flow of benefits to the locals, the appearance of compliance is illusory.

Fronting therefore undermines the purpose of the investment opportunity policies and prevents benefits from reaching those locals it is meant to reach.

It also perpetuates the systemic exclusion of local owned businesses from economic empowerment.

Imperfect though it may be, it would be beneficial for the FSC to draft legislation to introduce a comprehensive definition of “fronting” into our laws. In addition, they should create a new oversight body to investigate allegations of unscrupulous business deals.

The reality is, we know due to the privacy laws and the fear of reprisals, it’s a slippery slope when it comes to the public’s right to know about what is perceived to be shady deals and our duty to report it.

Nevertheless, if it was required by the FSC for these foreign companies with local joint venture partnerships to divulge financial records showing the bank transactions of the 51/49 split or who have the controlling shares, it would be a game changer.

As a people, we must also be brave enough to speak up when we see corruption or things that undermine

the basic principles of our core values.

Until legislation is enacted to address the social and economic imbalances in this country, this sort of shady practices will continue to prevail, leaving underrepresented local business partners with the short end of the stick.

 

Ed Forbes,

Concerned citizen of Grand Turk

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Crown Land Unit Leads Multi-Agency Enforcement Exercise in Five Cays

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Providenciales, Turks and Caicos Islands – Wednesday, 21st October 2026: The Crown Land Unit, with coordination and support from the Informal Settlements Unit (ISU), conducted a multi-agency enforcement exercise in the Five Cays area of Providenciales on October 8, 2026, as part of the Government’s ongoing efforts to address the illegal occupation and unauthorized use of Crown land.

The exercise brought together representatives from the Crown Land Unit, ISU, TCI Border Force and Royal Turks and Caicos Islands Police Force. Inspections were conducted across several parcels of Crown land in Five Cays, where instances of illegal occupation and unauthorized use had been identified.

During the exercise, a total of seven (7) Section 22 Notices of Unauthorized Occupation were issued in accordance with the provisions of the Crown Land Ordinance. The notices related to the unauthorized placement of shipping containers and derelict vehicles, as well as the construction of an incomplete concrete structure on Crown land. Where occupants or other responsible persons were not present, notices were affixed to the relevant structures or items.

The exercise forms part of the Crown Land Unit’s continuing efforts to prevent squatting and encroachment on Crown land and to ensure that instances of unauthorized occupation are identified and appropriately addressed.

The Government of the Turks and Caicos Islands reminds the public that occupying, developing or otherwise using Crown land without lawful authority is an offence under the Crown Land Ordinance. These inspections and enforcement activities form part of a sustained program aimed at safeguarding public lands, discouraging unlawful development and ensuring that Crown land is managed in the best interests of the people of the Turks and Caicos Islands.

The Crown Land Unit will continue to work closely with the ISU and other partner agencies to identify and address instances of illegal occupation across the Islands. Persons occupying Crown land without authorization are encouraged to comply with all notices issued and to seek guidance from the relevant authorities where necessary.

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Invest TCI Strengthens Regional Investment Connections at Caribbean Investment Forum 2026 in Barbados

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Providenciales, Turks and Caicos Islands – Monday, 19th October 2026: Invest Turks and Caicos Agency (Invest TCI) strengthened its regional presence at the Caribbean Investment Forum (CIF) 2026, held October 5 – 7, 2026, in Bridgetown, Barbados, participating as both a sponsor of the Forum and representative of the Turks and Caicos Islands’ investment landscape.

The Caribbean Investment Forum brought together regional and international investors, government representatives, business leaders, entrepreneurs, investment promotion agencies, and development partners to explore investment opportunities, strengthen partnerships, and advance sustainable economic development throughout the Caribbean.

The Agency’s sponsorship of CIF 2026 formed part of its continued commitment to strengthening the visibility of the Turks and Caicos Islands within the regional investment community and building relationships with investors, development partners, investment promotion agencies, and businesses across the Caribbean.

The opening of the Forum was attended by the Honourable Mia Amor Mottley, Prime Minister of Barbados, who emphasised the importance of scaling regional investment, strengthening economic cooperation, and transforming innovative ideas into commercially viable opportunities. Invest TCI was represented by Ms. Alexa Cooper, Domestic Investment Officer, and Mr. Hezron Henry, Marketing Support Officer. Throughout the Forum, the delegation engaged with stakeholders and promoted the Turks and Caicos Islands as a competitive investment destination while exploring opportunities for greater regional collaboration and knowledge exchange.

Speaking on her experience at the Forum, Ms. Alexa Cooper, Chief Domestic Investment Officer, said:

“CIF 2026 provided another valuable opportunity to engage with donor organisations, investors and Investment Promotion Agencies (IPAs) from across the Caribbean. A highlight for me was the introduction of an exclusive masterclass for fund managers, investors and support organisations, which offered practical insights into unlocking capital, strengthening investment ecosystems and supporting investment-ready businesses. I was equally impressed with the quality of projects pitched, which showcased the region’s innovation and investment potential. It was encouraging to see projects presented with a clearer understanding of investor expectations, reinforcing the importance of not simply developing projects, but ensuring they are well-structured, investment-ready and positioned to attract the right investment partners.”

Accompanying the Invest TCI delegation was Mr. Sean Penn, Chief Executive Officer of Sky Poultry Farm Ltd., the first commercial egg and poultry production facility in the Turks and Caicos Islands. Mr. Penn’s participation provided an opportunity to showcase the development of domestic enterprise within the Turks and Caicos Islands while highlighting the potential of agriculture and food production as part of the country’s broader economic diversification efforts.

Through his participation at CIF 2026, Mr. Penn had the opportunity to engage with regional stakeholders, gain exposure to developments within the Caribbean agricultural sector, and explore potential partnerships and opportunities related to agricultural investment, innovation, and enterprise development.

For Invest TCI, the combination of sponsorship, investment promotion and local business representation provided a multifaceted platform to advance the Agency’s mandate. It allowed Invest TCI not only to promote the Turks and Caicos Islands to prospective investors but also to facilitate greater exposure for a local enterprise operating within an emerging sector of the economy. The Forum also provided opportunities for the Invest TCI delegation to exchange knowledge with regional counterparts, strengthen institutional relationships, and gain insight into investment trends and opportunities affecting Caribbean economies.

As the Caribbean Investment Forum continues to expand its regional reach, Santo Domingo, Dominican Republic, was announced as the destination for the next edition of the Forum, providing another opportunity to bring together investors, policymakers, investment promotion agencies and businesses from across the Caribbean and beyond.

Invest TCI looks forward to the continued growth of the Caribbean Investment Forum and the opportunities it creates to deepen regional partnerships, promote investment, and connect Caribbean businesses with new markets and sources of capital. The Agency remains committed to attracting sustainable investment, supporting domestic enterprise, encouraging economic diversification, and developing partnerships that contribute to the long-term economic development of the Turks and Caicos Islands.

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Energy Minister Delivers Electrifying Keynote Opening Address at CAREC 2026  

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NASSAU, The Bahamas – The Bahamas’ Minister of Energy, Utilities and Aviation, The Honourable JoBeth Coleby-Davis, delivered an electrifying address during the opening ceremony of the 2026 CARILEC Resilient/Renewable Energy Community (CAREC) Conference and Exhibition, being held October 18–22, 2026, at the British Colonial Hotel in Nassau, The Bahamas.

Under the theme “Empowering Progress: Strategic Policy and Planning for the Energy Transition,” the event draws more than 200 industry leaders, policymakers, regulators, and energy professionals committed to advancing practical strategies for sustainable and reliable Caribbean power systems through renewable energy and emerging technologies.

During her address, titled “The New Energy Era: Transforming Policy into Progress,” Minister Coleby-Davis reminded attendees that The Bahamas’ national motto, “Forward, Upward, Onward, Together,” aptly describes what the region’s energy transition demands.

“Empowering Progress speaks directly to our national motto. Not waiting for progress, but creating the conditions that allow progress to happen. Meaningful progress, however, does not occur by accident. It requires vision, sound policy, strategic planning, strong institutions, and the determination to turn decisions into results,” said Minister Coleby-Davis.

Participants acknowledged that small island developing states share similar pressures, compounded by geographical challenges, small electricity markets, ageing infrastructure, geopolitical influences, and the growing threat of severe weather.

Tasked with ushering in a new energy era across the islands while addressing the challenges posed by The Bahamas’ unique archipelagic composition, Minister Coleby-Davis said, “Every island needs a different answer, but the same logic. As an archipelagic nation, we must provide electricity across many islands, each with its own demand and infrastructure needs. Our strategy, therefore, must be national in direction, but responsive to individual communities.”

Restating her Ministry’s three core messages—that energy is an economic and security priority, technology must be viewed as a tool to support strong institutional leadership, and natural gas should be considered a bridge, not a destination—Minister Coleby-Davis reiterated that “progress must now be reflected in functioning infrastructure, effective institutions, and better electricity services: from policy commitments to coordinated implementation, and from fragmented investment decisions to long-term planning.”

Organised by CARILEC and co-hosted by Bahamas Power and Light (BPL) and Grand Bahama Power Company (GBPC), the annual Conference and Exhibition brings together the Caribbean energy community to advance practical solutions to the region’s most pressing energy challenges and accelerate progress towards more resilient, reliable, and sustainable power systems.

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