Dear Marvin:

 

I do not take up company with TCI Journal's "writings" unless it can offer any clues to complete the puzzle.  I do not have any personal knowledge of Cem Kinay's individual finances nor do I purport to know.  TCI Journal can allege anything they want.

 

I started my investigation with Dellis Cay because it was the center of the Wikileaks publication and then subsequently the Google case.  It got a lot of press.  But I will move on shortly to other developers, next with Lord Ashcroft to see what the real facts are there.   Slowly, I am unraveling the pieces.

 

The only answer that I have for the personal home of Cem Kinay, is that assuming he paid cash to buy it, it does not conclude that it is not also leveraged.  Again, that is none of my business.  Compared to the prices of the villas to be sold on Dellis Cay, $7 million for his private home doesn't seem so extravagant.  I do not know the real estate market in that area or his personal obligations.  So I have no educated comment on that.

 

As far as Dellis Cay is concerned, I have been continuing my investigation.  Dellis Cay is not Crown land, Marvin.  Dellis Cay was a private purchase from an individual in Europe.  I do not have all of the facts of this transaction. 

 

The pieces are coming together as follows:

 

Some of the confusion is the popular belief that Cem Kinay's development was on Crown land. 

 

The actual island in question by the enquiry is a remote island called Joe Grant Cay, about a 2 hour boat ride from Provenciales.  The island is called "iron" terrain because it is made up of black rocky peaks. The island has virtually no beach and has absolutely no infrastructure.  It is uninhabitable. 

 

My real estate sources tell me that the island has been of interest to maybe a handful of developers before, all of whom ultimately backed out due to the complicated structure of the island and that the Crown was not willing to sell the entire island, only 20% of it. 

 

Cem Kinay was reportedly wooed very hard by the tourism department to take the land and develop it, reportedly because Cem Kinay's brand would draw a wealthy tourist population.  I am told, but have not confirmed, that Kinay was induced with a Belonger partnership from an official within the tourism department (cannot reveal his name without checking the facts).  Kinay reportedly did not ultimately purchase the island, he purchased the 20% and took a lease for the rest which is an additional 500 + acres. 

 

Thereafter, none other than Honorable Gordon Wetherell signed a Development Agreement with Cem Kinay allowing him to develop on Joe Grant Cay.  Part of the reported deal was that Kinay was to give the Crown a hefty percentage (I believe 15% or 20%) of profit from the sales. 

 

I believe that Kinay had already paid and completed the lengthy environmental impact process before the enquiry.

 

Michael Misick was pronounced a hero when he made this deal for Joe Grant Cay.  Misick made a press release (and perhaps Malcolm can use his Dom Perignon fantasy here) and a celebration was had.  

 

Kinay reportedly saw this island as a challenge, and the inducements were there by the government.  It could be that he decided to make the deal because he felt supported by the government and confident in their commitments.  I am speculating on the latter, but it is my tentative opinion that he would not have purchased the island without all of the inducements offered to HIM by the then government.

 

I have also checked that the Commission of Enquiry valued the island based on an already developed island's real estate specs, the island of Ambergris Cay.  Ambergris Cay has a run way, sewer, a marina, water facilities, sea cable and electricity -- altogether the infrastructure improvements worth hundreds of millions of dollars.   Ambergris Cay island is wholly habitable. 

 

Joe Grant Cay has absolutely no infrastructure, no dock and little beach to speak of.  The enquiry drastically and artificially over valued Joe Grant Cay island for purposes of the enquiry report. 

 

Why would the commission of enquiry over value Joe Grant Cay?  I am not exactly sure but I can hasten a guess.  I suppose if the enquiry valued the island at a much higher price than was true, then it stands to reason that Kinay made off like a bandit and got a special deal.

 

I am still looking into the particulars of this island transaction.  If anybody has any additional information, I would be interested to hear.  I am currently working with a real estate agent gathering records and information.   But we could use other areas of expertise and island culture.

 

Somebody wrote us the other day and revealed that you can row a boat from West Caicos to Joe Grant Cay and that the Ritz Carlton development is a quick row boat ride.  What is the significance of this fact?  I would like to know. 

 

Thank you for your question, Marvin. 

 

CBurke