$18 Million Investigation: 41-Year-Old Arrested

January 26, 2016

The police confirmed they are conducting a “criminal investigation into an allegation of misappropriation of funds amounting to approximately $18 million” in the Par La Ville Hotel matter, and a 41-year-old male from Smiths Parish “has been arrested on suspicion of theft.”

$18 Million Loan Not Paid Back

MIF, an overseas company, extended an $18 million loan to Par-la-Ville Hotel and Residences Ltd [PLV], with the Corporation of Hamilton signing on as the guarantor.

PLV was supposed to develop a hotel on the Par-La-Ville car park, and the $18 million was a bridging loan which was supposed to be used to secure financing for the hotel development.

The loan was supposed to be be repaid in December 2014, however it was not paid back resulting in MIF initiating legal action against PLV principal Michael MacLean and the Corporation. Since this occurred, the Corporation has been through an election process and is now being run by a new administration.

The whereabouts of the missing $18 million remains unclear, and the police — following a criminal complaint made by the Minister of Home Affairs — have been carrying out enquiries since April of this year.

Police Statement

A police spokesperson said, “The Bermuda Police Service can confirm it is conducting an active criminal investigation into an allegation of misappropriation of funds amounting to approximately $18 million, resulting from a loan made to Par La Ville Hotel & Residences Ltd. intended to pay costs associated with the building of a hotel and residences at the Par La Ville car park in the City of Hamilton.

“A 41-year-old male from Smiths Parish is assisting the Police in the enquiry, and has been arrested on suspicion of theft.

“The enquiry is being headed by Detective Chief Inspector Nicholas Pedro. Anyone with any information relating to this matter is asked to contact the above officer on 247-1340 or alternatively members of the public can contact Crime Stoppers on 800-8477.

“Any and all information received will be treated in the strictest of confidence.”

Update 3.32pm: We have been advised due to the legalities, it may be advisable to restrict comments.

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Comments (14)

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  1. Onion juice says:

    Things that make you go Hmmm.

    • bluwater says:

      Things that make you go Hip Hip Hurray! Things that make you feel like your hope in the investigative efforts of the current government and authorities can isn’t for naught.

  2. Cmbbda says:

    And so it begins…!

  3. turn of events says:

    how are you assisting and arrested at the same time?

    • bluwater says:

      A plea deal….. or, they sweet talked him into thinking they believe his story…..

    • hmmm says:

      Perhaps he is talking, to mitigate another offence !!!!!!!

      It is all going to come out……better get your plea bargain in there first….time for those involved to fess up me thinks.

  4. Truth is killin' me... says:

    I’s dotted and T’s crossed surely now that this has occurred. THERE IS A GOD!!!!

  5. Bermydude says:

    That money has to show up, its not like $5.00 went missing.

  6. Kangoocar says:

    I can only assume the police were lucky to find him if they still thought he lived in smiths?? He hasnt lived in Smiths for well over a year!! At least they had his age correct!!! If asked I could have taken them right up,to his front door, to find him!!!! Anyway, hopefully justice will be served, but sadly I don’t think much of the money will be recovered?? Hopefully I am wrong???

    • bluwater says:

      Pretty sure they’ve been putting the whole picture together. I doubt it’s luck.

      • Kangoocar says:

        Agreed, I was only kidding about them being lucky to find him, heck, they probably went to his office to get him???

  7. swing voter says:

    If the money is in an escrow acct and cannot be accessed (1 scenario) then He’ll be okay….If the money cannot be traced (the other scenario), then heaven help him.

  8. Bullseye says:

    Book ‘im Danno!!