The Minister of Health said that a new board would take over Universal Health Services yesterday. But it hasn't happened yet, and no one can say when it will. And our sources say that's for a number of reasons, not the least of which is the fact that the debt with the Belize Bank hasn't been settled yet.
Latest reports say that the bank requires 11,000 acres of government-owned land on Northern San Pedro to settle the $33 million debt. At least three thousand of that is reserved, and what's more the negotiators are discussing access to beach frontage, which is not currently included in the swap, so government would have to acquire it.
It should be noted that government sold land to Social Security in that same area for $3.4 million per thousand acres, which at that value would bring 11,000 acres to about $37 million to settle what Health Minister Coye said is a $33 million debt.
And while government weighs this decision, it must also weigh the fact that it has hardly done due diligence on the debt settlement: it has no statement of Universal's account from the Belize Bank, no balance sheet, and no valuation of assets from Universal.
But, perhaps more important than all these, government has exhibited the political will to go ahead with the deal, and so all indications are that it will be closed fairly soon, no matter how many matters may be outstanding...
One matter that will have to be settled though is the government guarantee. As we've reported it's like a blank check that the government gave to Universal in 2002. Well now, Lois Young Barrow of the Association for Concerned Belizeans has applied under the Freedom of Information Act to get that document. The request is presently with the Ombudsman.
