WILLEMSTAD – Curaçao’s government offered XCG 11 million for the former SEHOS hospital complex but failed to provide satisfactory information showing where the money would come from or how the purchase would be legally financed, according to bankruptcy trustee Danilo Narvaez.
Narvaez disclosed the details in an October 7 letter explaining why he proceeded with the XCG 10 million sale of the hospital complex to Otrabanda Village B.V. despite Curaçao submitting a higher offer.
The trustee said Curaçao presented its XCG 11 million proposal in February 2026, nearly seven months after its previous contact with him and approximately one week before he signed the purchase agreement with Otrabanda Village.
Narvaez said he took the higher government offer seriously and asked Curaçao to explain from which part of the government budget the purchase price would be paid.
According to the letter, the trustee did not receive an answer demonstrating that Curaçao had sufficient funds available for the transaction.
The government was also asked, like other prospective buyers, to identify its “source of funds.” Narvaez said no satisfactory response was received.
The trustee identified another obstacle: under Curaçao’s public accounting rules, the purchase would have required a supplementary budget submitted to the Curaçao Parliament.
Only after approval through a national ordinance could the government proceed with purchasing the hospital complex, according to Narvaez’s explanation.
That process could have taken six months or longer.
The trustee said waiting for parliamentary approval would have created additional risks for the SEHOS estate. Otrabanda Village could have withdrawn, leaving the bankruptcy estate exposed if the government purchase ultimately failed.
Narvaez also pointed to the physical condition of the hospital complex as a reason why acting quickly was important.
According to the letter, break-ins occurred regularly at the property and people repeatedly entered the grounds to use drugs. There was also a risk of fire or arson, while the property was not insured against fire because the bankruptcy estate could not afford the cost.
Narvaez said these considerations, together with the advanced stage of negotiations with Otrabanda Village, influenced the decision to complete the private sale.