The Government of Belize has assumed control of two registries which are 50 percent owned by Waterloo Investment Holdings Limited, (WIHL) a Bermuda Stock Exchange (BSX) listed company.

The entities are the Belize International Business Companies Registry and the International Merchant Marine Registry of Belize.

The BSX released the WIHL filing today, which stated: “Waterloo Investment Holdings Limited announces its disappointment and outrage at the Government of Belize’s unilateral decision,” and called the move: “ ... the latest in a clear and expanding pattern of the Government’s rejection of private investment in Belize and clearly sends the unmistakable signal that no investment, whether local or foreign, is safe in Belize.”

The WIHL filing said the move was announced in a press release issued on Tuesday, which stated the Government of Belize would assume control of the two Belize registries with effect the following day.

“WIHL holds a 50 percent investment in Belize International Services Limited (BISL), the company that had been granted the right to operate and manage the two registries on behalf of the Government of Belize until 2020. The other 50 percent of BISL is owned by the Panamanian law firm, Morgan & Morgan.

“As a result of this action by the Government of Belize, WIHL will not be able to include its share of the income of BISL in its fiscal 2014 income statement, which in fiscal 2013 amounted to $2.5 million.”

In condemning the move, the WIHL filing stated in full: “(The) Board considers the Government of Belize’s decision to disregard the sanctity of BISL’s contract to be the latest in a clear and expanding pattern of the Government’s rejection of private investment in Belize and clearly sends the unmistakable signal that no investment, whether local or foreign, is safe in Belize.

“BISL intends to vigorously defend its contractual rights and pursue its claim in damages to the highest level of the legal system in Belize and will exercise all options available to it to vindicate its rights.”

WIHL’s majority shareholder is Lord Ashcroft, a major Conservative Party donor. His business interests have been in the spotlight for dealings in the Caribbean, particularly banking interests in the Turks & Caicos Islands (TCI).

The Royal Gazette reported on Lord Ashcroft’s business interests when WIHL listed on the BSX one year ago. It reads: “A news release announcing the BSX listing, said: “British Caribbean Bank Limited principally provides lending and deposit facilities to domestic and international customers. As at December 31, 2011, the bank held the third largest loan portfolio of the banks operating in the Turks and Caicos Islands. The bank provides asset backed lending to tourism related development projects, residential mortgages, and loans to service businesses. The bank offers deposit accounts in US dollars, Canadian dollars and UK sterling.”

The Royal Gazette also reported that WIHI said it has close to $600 million in investments in the Caribbean and Central America that focus on financial services, hotel management, land and resort development and other investments. The company also said it holds, through various subsidiaries, substantial debt interests in the 20-acre Leeward Resort and Marina (formerly Nikki Beach) and the 1,100-acre Ambergris Cay development in TCI, as well as the Port of Belize in Belize.”

The story continued: “In addition, Waterloo owns a 50 percent share of Belize International Services Limited, and an approximate 25 percent interest in a food oil processing and distribution operation in Costa Rica.”

WIHL was formed in October 2011 when Lord Ashcroft’s BCB Holdings, already listed on the BSX, was reorganised by demerging the TCI business, leaving BCB Holdings focused on the bank’s Belize business.”

TCI has also been in the spotlight since the British Foreign Office suspended the island’s government and imposed direct rule in 2009 after a commission of inquiry found alleged corruption by ministers, including the former Prime Minister Michael Misick.