2008 REPORT ON UK INVESTMENT DISPUTES AND

UNCLAS LONDON 001923 SENSITIVE SIPDIS E.O. 12958: N/A TAGS: KIDE EINV ECON UK SUBJECT: 2008 REPORT ON UK INVESTMENT DISPUTES AND EXPROPRIATION CLAIMS REF: REF: STATE 43784 ¶1. (U) SUMMARY: Post is unaware of any relevant disputes against the Government of the UK. Post is aware of one outstanding claim of United States persons against the Government of the British Virgin Islands (GBVI). Claimant A reports they were never compensated for a time share vacation club membership when the underlying property was sold to the GBVI. Claimant A reports that there are approximately 900 claimants, of which the majority are Amcits. END SUMMARY ¶2. (U) Claimant designation: Claimant A ¶3. (U) Year dispute arose: 2005 ¶4. (U) Case History: Claimant A received a notice of withdrawal from timeshare arrangements from the management of a timeshare resort, allowing the owner to sell the property as abandoned to the GBVI, an overseas territory of the United Kingdom with its own elected government. The United Kingdom appoints a Governor of the BVI who oversees the external affairs of the territory. The elected GBVI oversees the internal affairs of the territory. HMG views this as an internal dispute in the GBVI, over which it has no jurisdiction. In 2007, the claimant was hopeful that the newly elected government would offer a settlement. However, claimant A reports the elected government is not sympathetic to the timeshare owners plight and there is no agreement yet. Claimants have formed an organization called the Vacation Club and are considering filing a class-action lawsuit against the Government of the British Virgin Islands in U.S. Federal Court. ¶5. (U) Location of property: Island of Tortola, British Virgin Islands ¶6. (U) Estimated Value in US dollars, according to AmCit: $14,000 - $15,000 per claimant, or about $1.3 million, total. A second-hand source provided by Claimant A list the total value at $4 - $8 million. ¶7. (U) Approximate date when information was last received on the claim: July, 2008 ¶8. (SBU) Claimant A: Ms. Lisa Ann Goldsmith AmCit (no Privacy Act Waiver signed) ¶9. (SBU) Claimant A claims that there are approximately 900 other individuals and families who lost their time shares. She believes that the majority of them are American citizens. ¶10. (U) Post will continue to follow up with claimant group. Visit London's Classified Website: http://www.intelink.sgov.gov/wiki/Portal:Unit ed_Kingdom TUTTLE