July 27, 2012
Dear Anguillans,
On May 24, 2012 an article appeared in the Anguillan newspaper in relation to Cap Juluca in which Linda Hickox was quoted as saying: “We are delighted that the long journey has ended”. This statement, as difficult as it may be for Anguillans to hear, is far from the truth. Charles Hickox has continued to manipulate the truth to make it seem that he has been rightfully restored as the owner of Cap Juluca, and his actions have only led to a renewed round of litigation. In order to protect my rights, I have commenced litigation in theAnguillan Courtagainst Charles Hickox seeking to void the May 2, 2012 auction which purportedly returned the ownership of Cap Juluca to Charles Hickox. A summary of past events may give you an understanding of why I had no choice but to commence this latest lawsuit. In 1981 I became the leaseholder of the land on which Cap Juluca was built after buying out the lease from James Frankel, for almost $1 million, at the request of the Government of Anguilla. In October 1986 I sold the majority of the company (Leeward Isles Resorts) to HBLS, L.P., an entity controlled by Charles Hickox. After HBLS defaulted on making the payments due to me for the purchase, the Court inNew Yorkdirected that the shares in Leeward Isles Resorts (Cap Juluca) should be returned to me. To prevent this happening, Hickox caused HBLS to be put into bankruptcy. Thereafter, the New York Bankruptcy Court ruled that we should go to mediation. As a result of the mediation, a Settlement Agreement was signed in NY whereby Hickox agreed to make the additional payments due to me. Shortly after signing the Settlement Agreement, and in breach thereof, Hickox filed charges inAnguillaover the land on which Cap Juluca exists. Upon discovering that Hickox had filed charges inAnguillain breach of the Settlement Agreement, the mediator ruled that Hickox could never rely on those charges. Once Hickox had filed his charges in breach of the Settlement Agreement, he felt no need to make further payments to me. As a result, Hickox again defaulted on making the payments that were due under the Settlement Agreement. The default caused by Hickox’s failure to pay me resulted in the NY judge ordering the mediator to sell Cap Juluca. The mediator did so by auction in September 1997. I was the only bidder at the auction and bought back the ownership of Cap Juluca. In 2003, after being awarded a Deficiency Judgment against Leeward Isles Resorts in Court inNew York, I filed my own charges inAnguilla, which at that time were behind Hickox’s charges which were filed in breach of the Settlement Agreement.
It is those charges on Cap Juluca that were filed in breach of the Settlement Agreement that enabled Charles Hickox to credit bid at the May 2, 2012 auction, in violation of the New York mediator’s ruling to not be able to rely on those charges. By being able to credit bid, Hickox purportedly regained control of Cap Juluca and effectively wiped out my interest in Cap Juluca. It has also resulted in Cap Juluca coming to a standstill – a fractured resort of which Hickox seems to not have the financial ability or backing to commit the required capital to renovate and unify the resort. Hickox arrived at this position despite never paying me for the ownership of Cap Juluca, and even though he filed his charges in breach of the Settlement Agreement. A senior civil servant of the Government of Anguilla in 2006 stated in a sworn statement that at the time Hickox filed his charges, if the Government of Anguilla had been aware that they were filed in breach of the Settlement Agreement, it likely would not have permitted Hickox’s charges to be registered. Nonetheless, the May 2, 2012 auction went ahead, allowing Charles Hickox to rely on those charges.
I am now seeking a declaration from theAnguillan Courtwhich would invalidate Charles Hickox’s charges as well as the May 2, 2012 auction. If I am successful in this latest action in Court, I will be in position to conduct an auction relying on my validly filed charges. I have had numerous discussions with the owners of villas 1, 2, 3, 8 and 17, and feel confident that if I was to regain control of Cap Juluca and run an auction, I would be able to unify Cap Juluca and involve parties who have the financial ability and commitment to return Cap Juluca to the former glory years it enjoyed under my ownership. I believe this is a result which would be a welcome relief to all Anguillans.
Sincerely
Dion Friedland
(Published without editing by the Anguillian newspaper.)
(Paid Publication)
