On February 7th, 2020 Deputy Commissioner Mr Mervyn Stegers, on behalf of the government of St Eustatius, notified Eco Statia NV that her building permit was going to be revoked. Since then, the company has not been allowed to finish the building of the First Salute Lounge. This also stopped them from continuing with the rest of their plans, such as adding a swimming pool for the hotel and building more cabanas. 

Reason for withdrawing the building permit was, according to the government:

"It is clear that there is danger in relation to the cliff and the buildings at the bottom of the cliff. This is also evident from reports from RHDHV (due to the instability of the cliff and the danger of falling rocks there is a high level of risk). Given this danger, the government cannot allow further construction at the bottom of the cliff." 

The following  plan was proposed by Mr Stegers:

• "Government Commissioner will instruct AcrobatX to assess whether and, if so, which risks there are with regard to opening First Salut, including restaurant and bar.
• If the risks are minor/acceptable, Eco Statia NV can apply for a temporary building permit for containers (First Salute Lounge has a building permit).
• The Government Commissioner will instruct a third party to carry out a 2nd opinion for the hazard at the bottom of the cliff, up to and including Stuco, which will also ask what measures could be taken to limit the risks or to come up with alternative solutions.
• On the basis of the outcome of the second opinion, the parties will jointly examine which solutions are possible, but no statement can be made on this at the moment.
• Until there is a definite answer, a formal construction freeze applies to further construction work."

[source: recorded minutes of meeting on February 7th 2020 between Eco Statia NV representatives, Dept. Commissioner Mervyn Stegers, and other Government representatives]