A Fact Sheet on the Nygard Conspiracy in the Bahamas

by Larry Smith

The complex controversy swirling around Peter Nygard is bewildering. And our government has deliberately contributed to the confusion. This fact sheet will help readers understand what is going on and what is at stake.

Who is Peter Nygard?
Born in Finland in 1943, he moved to Canada as a child. In 1967 he bought a share in a women’s clothing company and is now among the 100 richest Canadians.

Why is he in the Bahamas?
In 1984 Nygard bought 3.25 acres at Simms Point, on the western tip of Lyford Cay, and built a second home there.

What’s wrong with that?
Nothing. But over the years he transformed the house into a 250,000-square-foot, unlicensed party resort, upsetting his residential neighbours. He rented out to wealthy vacationers for more than $42,000 a night - until the place was damaged by fire in 2009. To accommodate these activities, Nygard doubled the size of his property by dredging the bay and filling the rocky shoreline with sand - without government approval. In fact, dredge pumps have been used almost continuously for years, to move sand from the bay onto Nygard’s property. The additional three acres of accreted land are valued in the millions. 

Is that just talk?
No. High-level government documents confirm that Nygard's development had "no Bahamian character” and would not have been approved by the Ministry of Works. The documents say he “abused” Bahamian laws and was operating an "unlicensed hotel” on "Crown seabed."

Is that the only issue Nygard is involved in?
No. In recent years he developed a fascination for anti-aging research involving experimental stem cell treatment, which he claims could "produce immortality.” In an online video, Nygard is shown injecting himself with a presumed stem cell formulation as he quips to awed onlookers: "Ah, it feels so good, and you can see it's working".  

Why are these issues so controversial?
It’s an open secret that Nygard contributed millions to the PLP’s election campaign. The quid pro quo seems to have been regularisation of his long-term, unlawful activities at Simms Point, and approval of a "stem cell institute” on his property.

Were Nygard's unlawful activities at Simms Point regularised?
In effect, yes. The Christie administration has not forced the removal of any illegal structures from Crown land at Simms Point, and has not prevented Nygard dredging and filling to expand his property. High-level documents show that the Christie government agreed early on to accommodate Nygard, and has avoided taking any action against him. 

What about Nygard’s stem cell “institute”?
High-level documents show that Nygard made a proposal to cabinet for such a facility right after the election. According to the late Dr Arthur Porter, who advised the government on stem cell matters, Nygard pushed Christie to authorise stem cell treatments. In his 2014 memoir Porter said Nygard wanted to approve all Bahamian stem cell regulations: “He would be judge, jury and executioner.”  

Did this happen?
No. The prime minister followed Porter’s advice, and a properly constituted medical task force was set up to oversee the development of  stem cell legislation, which was enacted in 2013. Immediately after the 2012 election, Nygard was still talking about investing in a stem cell facility here. However, the current status of the proposal is unknown.

Who is Louis Bacon?
Bacon is a wealthy American investment fund manager who has been Nygard’s closest neighbour in Lyford Cay since 1993. He is well known for his support of environmental and other worthy causes in both the US and the Bahamas. Bacon was one of the main backers of the movement to prevent the development of Clifton Bay as a gated community in the late 1990s. That fight played a large role in the PLP’s 2002 election victory, and led to the creation of the Clifton Heritage Park during first Christie administration. Bacon has acknowledged donations over the years to the PLP and FNM, as well as a range of Bahamian charities.

Why are Bacon and Nygard feuding?
They are next-door neighbours. Bacon and many others at Lyford Cay object to the disruptive commercial activities taking place on Nygard’s property. Their increasingly bitter dispute led Bacon to transfer management of his investment funds back to the United States and to avoid spending time here.

What is Save the Bays?
A non-profit environmental group formed in 2013 to support policy change, education and advocacy in the Bahamas. It evolved from an earlier group formed to prevent the development of Clifton Bay. Issues that STB has addressed include oil spills, unregulated development, environmental legislation, and freedom of information. Bacon is both a director and backer.

What’s all this about hate rallies?
In 2014 and early 2015 thousands of Bahamians staged demonstrations downtown targeting Bacon and other directors of Save the Bays. They wore ku klux klan uniforms, and held placards accusing Bacon of being a white supremacist. They also branded STB lawyer Fred Smith as "a Haitian infidel” and Rev C B Moss as “a terrorist and a slave." 

Did those targeted complain to the police?
Yes. Written complaints were lodged alleging that the demonstrations amounted to “criminal threats, intimidation and harassment”. There was no response, despite follow-ups.
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What happened next?
Last month a civil action on behalf of Save the Bays directors was filed in the Supreme Court against Nygard and his Bahamian lawyer Koed Smith. 

What did the lawsuit say?
It alleges "a concerted campaign to injure, cause harm to, cause damage, terrify and intimidate...by various means, including a plot to murder Frederick Smith and Louis Bacon, violent assaults, hate rallies and other intimidatory tactics.” The lawsuit seeks damages, as well as a permanent injunction restraining Nygard and Smith from further threats, harassment or intimidation. 

What are these allegations based on?
They rely on information obtained in a sting operation conducted by private investigators and involving two convicted criminals - Livingstone Bullard and Wisla Davila (also known as Toggie and Bobo). According to court documents filed by STB, Bullard and Davilma are gangsters who claimed Nygard gave them a “hit list” of people to murder or “send a message” to.

So what happened in the House of Assembly?
After the lawsuit was filed, Education Minister Jerome Fitzgerald jumped to Nygard’s defence. He accused STB of seeking to “destabilise" the government, using money from Louis Bacon. He claimed it was a “hustle” to entrap Nygard. Fitzgerald also read from STB emails to support his claims, which launched a new controversy over privacy issues. Fitzgerald first said he obtained the emails with the help of “friends in the US”, but later suggested they were provided locally by an anonymous source. 

Did the STB lawsuit attack the government?
No. But supporting documents (including secretly recorded videos) show Nygard talking about the prime minister and the deputy prime minister with Toggie and Bobo, who claim to be speaking on behalf of Brave Davis.

What about the FNM?
Fitzgerald disclosed emails referencing FNM Chairman Michael Pintard in connection with Toggie and Bobo. It was Pintard who first alerted STB to the intimidation plot, in his private capacity as an advisor to Callenders & Co attorney Fred Smith. Pintard later resigned as chairman to avoid being used as a distraction. Dr Hubert Minnis, FNM leader, surprisingly acknowledged that he too had met with Toggie, who was a resident in his Killarney constituency. Minnis said Toggie had told him Pintard was being set up by a high-ranking government member. 

Who else met with Toggie and Bobo?
Apparently, almost everyone. According to court documents, the two gangsters had government contracts worth $132,000 per year, controlled by Deputy Prime Minister Philip Davis. It is also alleged they were paid “$40,000” by Nygard to give evidence that he used to file a countersuit. Court documents also allege that Davis and Nygard were involved in a scheme to entrap Michael Pintard using Toggie and Bobo. 

 

What’s the difference between government disclosing the emails of private citizens and whistleblowers leaking government documents to the press?

Some people can't distinguish between the two, but it’s really very simple. Unauthorised access by the state to the personal information of private citizens is undesirable in a liberal democracy because it facilitates abuse of our civil rights. On the other hand, the government is a public authority elected by the citizens to run their affairs for a period of time. Secrecy may be important in some areas (such as national security) but not universally. In most democracies, there is a constant tension between the citizen's right to know and the government's interest in secrecy. That is what freedom of information laws are for - to protect the public's right to access public information. Government actions should be matters of public record. My personal communications with family, friends and associates are nobody's business.

Any reasonable person reading the above will conclude that this convoluted controversy has its origins in the actions of one man - Peter Nygard. 

It is the government’s responsibility to clear up this mess for the good order of the country. So the question must be asked - why is the Christie administration working flat out to protect and defend Peter Nygard?

Comments

[Patrick Thomson]

This would appear to be the icing on the cake with the rest of it mouldering underneath. The country cannot go on staggering from one political crisis to another and still maintain we are a viable place to invest in. Why is the Government not making their position clear on this matter to the Bahamians and the outside world and why is the opposition not taking them to task and why for heavens sake can we not get a Freedom of Information Act with all its apparent faults. Someone has to Stand up and take charge of the country, please.
It is a blessing that you are able to put all these issues in perspective, Larry.

[Dr. Julius Theophilus]

Superbly explained. May the God that I serve, His Son Jesus Christ and His Holy Spirit expose the criminal element in The PLP and The FNM and remove them from serving The Wonderful People of our GREAT COUNTRY, from my lips to God's EARS.

[Leandra Esfakis]

I give up. Why?

[caca]

He is not doin anything our MPs is not letting him do they sellin him property's now wan to bitch about same wit china

[www.facebook.com/profile.php?id=588030269]

Thank you thank you for getting the word out. We need that entire country to know about this.

[Zornorph]

Thank you for this. I have found the whole thing bewildering. This is the first time I have clearly understood what all is going on. Why can't the press produce good journalism like this?

[Linda Neilson]

A country run, controlled and exploited by criminals and thieves can only come to ruin. Being in Government should be no protection from legal action. Bahamian people, this is our country. Don't you think it's time to stand up?