CCA Appeals US Court Ruling in Bahamas Baha Mar Case
NEW YORK, New York – China Construction America (CCA) has filed an appeal against a New York court ruling that the original developer of Baha Mar, Sarkis Izmirlian, had proven his fraud claim against CCA “beyond doubt”.
Baha Mar (File Photo)Baha Mar is a 1,000-acre resort complex on the island of New Providence in The Bahamas that was opened in April 2017. It includes three hotels with a total of 2,200 rooms, 284 private residences, a 100,000-square-foot casino, a 30,000-square-foot spa, and a Tournament Players Club golf course designed by Jack Nicklaus.
Earlier this month, Judge Andrew Borrok, sitting in the New York State Supreme Court, ruled in favour of Izmirlian awarding more than US$1.6 billion in damages over the fraud and breach of contract claim against the project’s main contractor.
The judge said that in “falsely” telling Izmirlian they would achieve Baha Mar’s substantial completion by the March 27, 2015, target date, he found that CCA representatives triggered the events that led to the project’s “liquidity” crisis and ultimately the original developer’s ouster.
In a statement sent to the Caribbean Merdia Corporation (CMC), a CCA spokesman said the company along with its affiliates CSCEC Bahamas and CCA Construction Inc. filed a notice of appeal of the New York State Supreme Court decision of October 18, 2024.
In the statement, the companies said the court’s decision “is by no means the last word in this matter, and the action we have taken to begin the appeal process is the first step towards correcting a ruling that misapplies basic principles of New York law, misconstrues core facts, and completely overlooks the consistently tireless construction work done by CCA Bahamas that ultimately completed the Baha Mar Resort”.
The companies claim that through its own irresponsible actions, BML Properties caused BML to overborrow, overspend and overextend itself and then brought about its own losses by unilaterally and secretly putting the project into a wrongful bankruptcy behind the backs of its partners and the Bahamian government.
“BML Properties’ ploy to keep control of the project, which was rejected by independent courts in the United States and The Bahamas, harmed not only CCA Bahamas and CSCEC Bahamas, but also the Bahamian economy. We look forward to presenting our arguments to the appellate court,” the statement said.
Earlier the Bahamas government said it was awaiting the advice of the Office of the Attorney General and Legal Affairs, before making any comment on the US court ruling.
In a brief statement, the Office of the Prime Minister stated that Prime Minister Phillip Davis had directed Attorney General Ryan Pinder “to conduct a review” of the ruling issued by the Supreme Court of the State of New York in the case of BML Properties Ltd. v. China Construction America, Inc.
The statement quoted Prime Minister Davis as saying that the “Government will await the advice of the Office of the Attorney General and Legal Affairs before making any further comments or decisions regarding the findings of the ruling”.
Following the US court ruling Izmirlian said he was “grateful to have finally had our day in the US judicial system,” adding “I first conceived of Baha Mar more than 20 years ago only to see it ripped out of my hands at the brink of opening by CCA”.
