Latinnews Archive

Caribbean & Central America - 6 November 1986

Drug cash scandal hits poll results;ROMNEY LOSES TOP JOB, VIP IN TOTAL CONTROL NOW

At the 30 September general elections Cyril Romney, an Independent member of the legislative council, lost his post as chief minister of this British colony to Lavity Stoutt, leader of the Virgin Islands Party (VIP). Romney had called the polls six days before a no-confidence motion was due to be debated in the nine-seat legislature. The former chief minister faced certain defeat because of the disquiet caused by allegations that the Financial Management and Trust Ltd, a company in which he holds the majority shareholding, was used to 'launder' drug money and, more sensationally, proceeds of the 1983 £26m Brinks-Matt gold bullion robbery at London's Heathrow airport.


Romney argued that the company's managing director, British expatriate Shaun Murphy, was the only one in full control of the firm; his re-election to the legislative council by a decisive margin indicates that his defence met with local sympathy. Murphy was arrested last April by the US Drug Enforcement Agency, charged with providing banking facilities to drug financiers. Senior British policemen have also interviewed him extensively. But in July the DEA dropped charges in return for Murphy acting as a witness in several cases involving drug finances in the US.

'There is no witch hunt against Cyril,' said former labour minister Conrad Maduro of the United Party (UP), 'only a determination by all in the British Virgin Islands that drug and crime money has no home here.' Maduro's insistence on the no-confidence motion made the election inevitable. Romney depended upon the support of the UP, led by deputy chief minister Willard Wheatley, which won four seats in 1983 to the four of the VIP.

Now the VIP increased its representation to five, to the UP's two seats. Two independents were returned, including Romney.

A member of governor David Barwick's staff reinforced Maduro's comment. 'There is no comparison whatever with the events in the Turks and Caicos islands,' he said in a clear reference to the assumption of direct control by London in the wake of the dismissal and imprisonment of elected leaders on drug and corruption charges. 'It was very largely a case of naivety on Romney's part,' he said, adding that it was 'unfortunately characteristic of many small island leaders who are mesmerised by carpetbaggers.'


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