The Clifton Review

The Clifton Review is a bi-weekly column that examines the question of the Clifton project along with the evolution of the war between two billionaires, the links to unsavory characters, the use of the courts for personal agendas, the involvement of a political party, and the attacks on the Government of The Bahamas.

We covered the start of this war with articles describing the battle over easement rights, the mysterious burning of a home, the blocks to rebuilding, and countless questionable court filings. This series of articles asks the needed questions and presents the arguments in full.

By P.J. Malone

Save The Bays is making a mockery of our systems. How is this organization allowed to get away with presenting themselves one way to the United States Treasury Department, and then behaving contrary to the U.S. stipulated regulations while operating in the Commonwealth of The Bahamas?

Why should Bahamians tolerate Save The Bays being regulated by the United States Treasury Department and allow Save The Bays not to be regulated by the Bahamas’ Registrar General’s Department?

United States Treasury Internal Revenue Service lays out specific requirements for public charities that seek tax exemption for their donors. United States Treasury Internal Revenue Service Exemption Requirements for 501(c)(3) Organizations—of which Save The Bays is—are as follows:

“To be tax-exempt under section 501(c)(3) of the Internal Revenue Code, an organization must be organized and operated exclusively for exempt purposes set forth in section 501(c)(3), and none of its earnings may inure to any private shareholder or individual. In addition, it may not be an action organization, i.e., it may not attempt to influence legislation as a substantial part of its activities and it may not participate in any campaign activity for or against political candidates.”

U.S. Treasury mandates that 501(c)(3) organizations must adhere to the following:

“The organization must not be organized or operated for the benefit of private interests, and no part of a section 501(c)(3) organization’s net earnings may inure to the benefit of any private shareholder or individual.”

Most importantly for our purposes, U.S. Treasury requires all 501(c)(3) organizations to adhere to the following decrees:

• “An exempt organization must make available for public inspection its exemption application.

• “In addition, an exempt organization must make available for public inspection and copying its annual return.”

Yet, Save The Bays has set up shop to operate in The Bahamas after getting its United States Treasury 501(c)(3) status, but refuses to make its finances public as it is mandated to do by U.S. Treasury regulations.

It has singled out one individual for constant and unjust attacks and filed many lawsuits against him, simply because their chief funder sees that individual as his enemy, thereby breaking the rule, “The organization must not be organized or operated for the benefit of private interests”.

It has taken our Government to court on numerous occasions because it disagrees with Government’s decisions that goes against its funder’s desires; and in its latest move, because the Government has requested that they comply with new Bahamian laws and present their organization’s information in order to enhance Governmental oversight.

Once again, Save The Bays is taking the Government to court to specifically protest the Registrar General’s Department’s requirement of nonprofits to submit financial information—financial information deemed public by the United States Treasury Department.

Can an organization obtain nonprofit 501(c)(3) status in one country that requires its financial information to be public, then refuse to cooperate with Government entities in the country in which it operates, who request that same public information? And in fact sue the Government because it dared to ask for it?

The audacity of such a thing! What are we in the Bahamas, chopped liver?