July 18, 2006 – The territory's oldest and one of its largest financial management companies will be gone from the territory by Nov. 17.
Driehaus Capital Management LLC, an Economic Development Commission tax beneficiary, has announced to its employees that the U.S.V.I. office will close Nov. 17 and all operations will move to Chicago, which is where the company was founded in 1983.
The impact to the community will be noticeable, according to Frank Schulterbrandt, executive director of the Economic Development Authority. Among other things, he said, "Driehaus makes significant contributions to local charities."
Schulterbrandt said that while he had not received notification of the pullout in writing, he had gotten a phone call notifying him that the company was leaving.
Schulterbrandt said the changes in the source revenue and residency requirements instituted with the passage of the American Jobs Creation Act of 2004 "impacted him [Richard Driehaus] significantly." (For one of the numerous stories written on the new regulations and their impact on the territory's EDC beneficiaries, see "EDC Regulations Are Out, Effects Being Determined".)
Highly regarded by many as a savvy investor, Driehaus has run part of his business in the Virgin Islands since 1984, Schulterbrandt said Tuesday evening.
Despite his company being an EDC tax beneficiary, Driehaus, a V.I. resident who owns a palatial home overlooking Charlotte Amalie Harbor, paid his sizable personal income taxes in the territory.
An unsigned communication to employees that the Source acquired this week said, "As you already know, Driehaus Capital Management LLC has a series of initiatives under way to grow our current business. In order to support these efforts … we have made the difficult decision to close the office of Driehaus Capital Management (USVI) LLC."
It further said "there will be employees from Driehaus Capital Management (USVI) LLC who will be relocating to Chicago to work in a similar capacity."
Schulterbrandt could not say Tuesday night how many people were employed by Driehaus.
Dale Pudycki, Driehaus manager, did not return a call placed Tuesday afternoon.
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