Yesterday in the National Assembly, the Prime Minister challenged those who
control the charitable trusts which own Telemedia to turn over that control
to the employees of the company. That hasn’t happened, but something unusual
did happen. Telemedia sent out a release from a previously unheard of group
called the Hayward Charitable Trust. According to the release, Hayward is the
majority shareholder in Telemedia.
And the news is that the group today purchased US$5 million in Belizean Superbonds
at a discounted price of thirty-seven point four cents on the dollar. According
to the release, the low price is an indication of the financial community’s
lack of confidence in the Belizean economy. It goes on to say that this government
or the next one can get things together so that Hayward and consequently Telemedia
can make a profit on these bonds.
What the release doesn’t say is that in a global recession, all securities
are trading down and those from emerging markets like Belize are not spared.
But even more important is that through this and subsequent Superbond purchases,
Hayward – which is controlled by Ashcroft related interests can have a
consequential effect on any future borrowings Belize may make on the capital
markets. And any large investor could also drive down the value of the bonds.
So make no mistake, the Hayward Investment suggests the possibility of a power
play, and however benignly announced, that play seems positioned to put the
Government of Belize on notice.
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