Tuesday February 9th, 2010
- Last update:11 hours 56 min ago
In Senate debate Mark puts:
‘Underground economy’ at $60b
Published: 6 Oct 2009
Wade Mark
The “underground economy” in T&T from illicit operations is valued at $60 billion, according to two-year old estimates by the Royal Bank, UNC Senator Wade Mark said yesterday. “Money laundering is being allowed to take place in T&T under the watch of the present administration and it has been so since 2002...serious money laundering is taking place here,” Mark said in the Senate debate on the Proceeds of Crime Act Mark said however, the “sweeping” legislation could breach the rights of citizens especially those organisations covered by the bill.
He said there was little consultation with the public on it. Mark said bank accounts could be monitored and any suspicious transaction could be reported. “And if you don’t have properly trained people, then honest professionals could get a raw deal,” Mark said. He said in the west of Trinidad multi-storeyed complexes were being erected with apartments valued between $10 million and $15 million each. “There are people who have already bought them. Why has Government not taken action when Government is aware the underground economy is close to $60 billion?” Mark added. When Trade Minister Mariano Browne asked Mark the source of his estimate for the “underground economy,” Mark said it came from Royal Bank at a seminar about two or three years ago.
“But you should be telling us the extent of this underground economy! You should know. The Central Bank should have an idea,” Mark told Browne. Mark said Government’s action on money laundering was lethargic and the State had undersourced agencies which could deal with it. He said the US State Department’s Narcotics (February) report confirmed T&T had moved from being a country being “monitored” to a country of “concern.” Government was presented with 49 recommendations on the issue, but nothing was done, he said. He said the US division had stated there was no indication that Government had adopted a risk-based approach on handling money laundering and terrorism financing.
Mark accused Government of waiting until the “11th hour” to present the legislation since he noted that the Financial Action Task Force (FATF) had expressed concern since 2007 that there were few prosecutions and no convictions on money laundering offences. Mark said Government was now “hustling” to present the bill since a FATF meeting was being held in Paris on Friday and T&T risked being blacklisted there, if the bill was not passed.
....the underground economy
....the underground economy is alive and well worldwide....it has always been with us and may even grow, as times get tough and taxes go up...it's an integral part of the overall economy....
Sorry, I really cant tell
Sorry, I really cant tell the difference anymore underground, above ground - they are one and the same - even the figures look like the same
$60 billion underground
$60 billion underground economy? That is the size of the National Budget. Since this Government seems to be in cahoots with the underworld, did the reporter make a mistake and wrote underground when Mark meant underworld? Surprised at Gail Alexander.
This is very concerning, as
This is very concerning, as crime and terrorism will continue to fluorish and expand in this well financed underworld economy.
If these figures are credible, then T&T can be viewed as a potential threat to the region, as these 'billion dollar entrepreneurs' have the capacity to use their initiative to influence and infiltrate the region with crime and terrorism. What a reputation to begin developing!
I am inclined to now refer to this criminal element in T&T as entrepreneurs, as their 'business ventures' are very profitable and in my opinion seem to be allowed and encouraged to operate 'legally' just as any other legitimate business.
Hopefully this issue is all political scaremongering...
I wonder what figures
I wonder what figures Republic Bank, FCB or Scotiabank have on this underground/underworld economy?
And if this figure of $60b was 2 or 3 years ago, what do you think it might be at this time?
http://dsaltsman.blogspot.com/
A study (Measuring the size
A study (Measuring the size of the hidden economy 1973-1999) done by SALISES (UWI Econonomic Department) and published in 2004, updated in 2006 put the underground economy in T&T at about 20% of GDP.
In 1999 this 20% may have been about TTD 36 billion, so add the largesse of the following years, the fact that we have open borders,and systems that encourage corruption, Senator Mark's figure may be well understated, despite Senator Mariano Browne dismissing Mark's figures.
Update:
The GDP for 2008 was estimated at USD 24,796 billion and UWI now says that the highest the underground economy grew to was 40& of GDP. This puts it at about USD 9.9 billion or TTD 62 billion.
rjm Wow! $60 billion two or
rjm
Wow! $60 billion two or three years ago ! You can imagine the state of the "Underground" economy now with the present adminstration doing absolutely nothing to help.
Underground, above ground,
Underground, above ground, on the ground what's the difference a bunch of crooks. Time for Manning and his merrymen to go.
I CLEARLY REMEMBER
I CLEARLY REMEMBER -
This figure bandied about by a reputable organization, it is not the first time that I have heard it. What is interesting the government queries the source but give no figure. Should they not be telling us? Like when we were told about the number of gangs.I suppose some foreign source will have to tell us, just as they have to catch local white drug traffickers. The results might end up be the same though, no meaningful action. We have all known for decades that we have been a drug transhipment country.
First of all let me say that
First of all let me say that my family migrated earlier this year due to many unsatisfactory events that continue to take place in T&T. One of them is being brought to light (once again) and nothing will take place just like everything else. Another reason that my family chose to migrate is due to the constant blame always being placed on "White" people. It is high time that Trinis wake up, open their eyes and use the brain that was given to them and realize that the horrible situation that the country is in can be squarely
blamed on every single progressive Government from the very first day of Independence. I also do not recall either a Prime Minister or President that has been "White".
BUT DO YOU RECALL
BUT DO YOU RECALL -
Every day PNM and UNC politicians are being called, crooks, thieves, inefficient, dictator, so it is only white people that can't get criticize. How many calypsoes have been sung crying down Africans and Indians and by Africans and Indians to boot? Yuh know how many Africans and Indians who left the country because they were not treated fairly, by Africans, Indians and last but not least by Whites. 10 percent of the country owns 90 percent of the wealth, most of the 10 percent is whites. Almost 100 percent of the people in jail are non white. The only time Trini whites are held for drugs are in the US, UK and Canada. Boy you so unfair you could be black. My family consists of Africans, Indians, Chinese and Whites. We does bad talk all ah them when they do stupidness, but is we family.
What exactly are you trying
What exactly are you trying to say? If an African or an Indian commits a crime that you should lock up a White man? When last have you seen a White public servant in the police service, licence office e.t.c. in T&T? If that were to take place in the USA all hell would break loose with riots and the like.
Who is the President in the USA? The point is that when a Public Official in a 1st world country gets caught committing a crime they go to jail, regardless if they are White, Black, Green or Pink. When will this happen in T&T?
I have spoken to many different friends of mine (of all different races) and they are also fedup of the situation and realize that it is only getting worse. After having a T&T passport for 40 years (and it saying valid till 2014) but it is no good come the end of this year. You call the $25 million dollar foreign Consulate and get the same doh care attitude from the employees. They expect me to wait over 1 year and go through one set of red tape to get a new passport, they could keep it. That is 2020 vision!! Wake up and smell the Coffee, I did.
By the way I am Caucasian and don't own a large hardware or building, so I don't know where you getting your Facts or Stats.
I am Just another normal Trini that has had enough!!
So may I suggest that you wake up boy!!
WHAT I AM SAYING
WHAT I AM SAYING -
Is if an African, Indian and White do a crime don't only lock up the African and Indian. How come in America they lockup Maidoff and Stanford. Did you ever hear them lock up anyone in T&T for white collar crimes, far less a white person? Or is it that white collar crimes are not committed in T&T. Is it that white people do not commit crimes in T&T? Do you remember the Brad Boyce case; the pathologist who was deemed unqualified, his testimony is now being used to convict non-whites. Do you know the only way Abu Bakr got off, is because he got wind of a law by Humphrey. The law allowed the president to pardon people of crimes before it reached the court, it has been mainly used to protect local whites. The last time a white person applied to the police force and was accepted it created such a furore he was advised to quietly resign as he was thought to be unstable. I have never been to jail, but that does not mean that most people in jail are not black. You not having hardware it does not mean that the majority of wealth is not owned by whites. Welcome to the Gayelle, it good to hear your opinion even though we differ. Don’t take everything personally. My great-grandmother, who was a very loving woman, preferred her light skinned straight nosed children even though she was dark skinned. So my great- grandmother was a racist. You could imagine the devastating psychological effect on her dark skinned grand-children. Even though I was one of the chosen ones because my father was a lighter shade of black I found the situation horrendous. In reverse could you imagine your grandmother not liking you because you where white. I was very conflicted over this because she was otherwise a very loving person especially to me. The education/indoctrination religious system inculcated a sense of self hate in her. Even in our families Good people do bad things and BAD people do good things.