Court issues order: Afra Raymond can drag stonewalling Trinidad government before Judicial Review

Tough guy, that Afra Raymond. Won’t take “NO!” for an answer from a government that doesn’t think it needs to obey the Freedom of Information laws.

They fired Afra from where they could in the news media and thought he’d go away – but still he walks on in search of the truth. They tried ignoring him and now he’s gone to court and obtained an order when most people thought he couldn’t.

Yup, this is getting even curiouser and curiouser!

Order granting leave to file judicial review in Afra Raymond vs Ministry of Finance and the Economy.

CL Financial scandal: Government ignores Freedom of Information request, Activist heads to court

At least Trinidad and Tobago has a Freedom of Information law!

What is being pursued here is our right as citizens of a modern republic to the details of these huge expenditures of Public Money – the CL Financial bailout is costing some $24Bn, about $3.5Bn USD! – and the background to how critical legislative support is obtained.  It is my view that S.34 was not the first time and that the spectre of ‘regulatory capture’, which underlines much of the discourse around the Great Depression 2, is in fact founded on a sinister degree of ‘legislative capture’.

Having had a series of ‘cat and mouse’ exchanges with the Ministry of Finance since my Freedom of Information Act application made on 11 May 2012, this is my pre-action protocol letter sent to them by my attorney on Thursday 7 March, seeking their proper reply in 7 days…that time expires at midnight today, Wednesday 13 March.

So stay tuned, because we are going to the High Court after that…

Afra Raymond

Kammie Holder: Can government be trusted? The need for Freedom of Information in Barbados

It is a shame that Kammie Holder did not run as an independent candidate this time around – because he’s just what Barbados needs: someone who genuinely cares about this country and the people yet hasn’t a bit of desire to be a professional politician.

Next time… Kammie please run!

Further Reading

For a list of Kammie Holder’s previous articles at Barbados Free Press see here

International Press Institute reports how Barbados politicians lied about Integrity Legislation, Freedom of Information, Defamation law changes

Prime Minister Freundel Stuart and his DLP promised Integrity Legislation. They lied. That was a slimy thing to do!

UPDATED: January 22, 2013 (pinned to top. scroll down for newer)

Have another read of this folks and remember that the promised Integrity Legislation will not become law before the next election.

Time to vote for ANY INDEPENDENT!

Here’s our original story first published October 15, 2012….

Lying corrupt DLP, BLP politicians will not pass Integrity Legislation

The just-released International Press Institute report on Barbados tells the sad history of how the DLP – Democratic Labour Party lied about Integrity Legislation just to get elected. The report is dated last June, 2012 and now that we are well into the political campaign for the next election we know the truth: there will be no Integrity Legislation put forward by the governing DLP. It was all a sham to get elected in 2008.

“The government and the population know that Barbados’ Defamation Act is a relic of the colonial past and that it hinders freedom of expression. IPI believes that when the country’s politicians are aware of the situation and have already attempted to change it, half of the work is done. We are optimistic that there is still enough time before the January 2013 elections to implement the new legislation.

While several news outlets now say that the people in Barbados were misled and that the Freedom of Information, Defamation and Integrity Legislation is an outstanding debt, IPI believes that public opinion can be changed. Barbados’ leaders have the opportunity not only to change these reports, but also to make history, as those who make this decision will have ushered in a more free, transparent, and democratic country.”

… the last two paragraphs of the Report on the IPI Advocacy Mission to End Criminal Defamation in Barbados (PDF here)

Former BLP Attorney General confirms no plans for Integrity Legislation

Barbadian voters remember former BLP Attorney General Dale Marshall as the one who hilariously gave a clean bill of health to VECO’s operations in Barbados after a 25 minute conversation with representatives of the company. This was after a series of scandals showed that Alaska-based VECO used bribery of politicians as a standard operating procedure to obtain government contracts.

The Owen Arthur led BLP government awarded VECO the contract for the new Dodds Prison even though the company had never built a prison before. Everything was done in secret and that’s the way Dale Marshall, Owen Arthur, Mia Mottley and the BLP like it.

WE TOLD YOU SO: Anti-Corruption legislation buried in dark hole

During the 2007 election campaign, the Democratic Labour Party promised to introduce Integrity Legislation and a Freedom of Information Act within 100 days of taking office. They put that in writing in Pathways to Progress, in press handouts and in newsletters and emails.

The DLP also promised to introduce a Ministerial Code of Conduct immediately upon taking office. They put that in writing too.

“Hello BFP folks…

…The Ministerial Code takes effect immediately after a DLP government is elected. The Freedom of Information Act and Integrity legislation will be dealt with in the first 100 days in office…

Best regards
Reudon Eversley
Communications Director
DLP General Election Campaign 2008″

The DLP Lied

David Thompson lied about it. Freundel Stuart lied about it. Every DLP candidate lied about it.

You can say that the electorate was naive or ready to believe the DLP lies about Integrity Legislation because after 14 years of BLP corruption we were desperate. You can say the electorate was ready to be deceived, but it doesn’t matter.

We believed the DLP. We truly did. We had faith in the DLP candidates as people. We elected the DLP candidates and leadership because we believed their promises. We believed IN the DLP candidates as people of their word.

The DLP promises about what we called “ITAL” – Integrity, Transparency and Accountability Legislation – were a big part of why Bajans elected a DLP government. That much was admitted at the time in the news media and in comments from foreign observers.

It has been over four years since those promises were made, and three years and seven months since the DLP Government took office and immediately broke their first promise by not implementing a Ministerial Code of Conduct on the first day.

Now we read in The Nation “The Barbados Private Sector Association (BPSA) wants Government to move quickly to redraft the Prevention of Corruption Bill, 2010 and get it back on the front burner” within six months.

DLP Strategy to make Integrity Legislation fail

We at Barbados Free Press earlier said that the inclusion of the private sector in the proposed Integrity Legislation was a DLP strategy to cause the legislation to fail, so they could blame it on the private sector. We said back in October, 2009…

A DLP insider reveals how David Thompson and his gang intend to sabotage Integrity Legislation and Freedom of Information laws by expanding the promised laws to include private citizens and corporations.

This, of course, will throw a spanner into the works of any legislation. After if fails to pass due to public outcry, Thompson and his fellow piggies at the public trough will say, “Well, we tried our best.”

…from the BFP post Prime Minister Thompson’s new strategy for avoiding Integrity Legislation, FOI: “Private sector must be included in this legislation”

We also said that the DLP would delay the Integrity Legislation until just before the next election, so they could blame the BLP opposition for shooting it down or delaying it. That way the DLP would get to use Integrity Legislation for two election campaigns in a row while retaining all the benefits of not having the legislation in place while they are in government. A neat trick if they can pull it off.

It looks like we were correct. That’s unfortunate because we would rather have been proven wrong.

Member of Parliament William Duguid “No Barbados politicians will vote for Integrity Legislation”

It’s also unfortunate that the only politician who told the truth about the Integrity Legislation and Freedom of Information was the Barbados Labour Party’s William Duguid, who was quoted on another blog saying that Integrity Legislation will never happen because no politicians of any party will ever vote for it. Duguid is moving to Canada so it doesn’t matter to him anymore if he speaks the truth.

Welcome to Barbados folks! Same old, same old ’bout hey.

In the Caribbean, budget time is corruption time!

“Expenditure of Public money – minus Accountability – minus Transparency = equals CORRUPTION”

Property Matters – State Enterprise Accounts

by Afra Raymond

In the next few weeks, this column will cover some of the issues which are likely to have a bearing on the 2012 Trinidad and Tobago Budget. The same issues apply to Barbados – especially considering the country’s lack of Integrity legislation, conflicts of interest rules, accountability mechanisms and Freedom of Information laws. Without these basic foundations, Barbados politicians, government officials and managers of state-owned enterprises can only pretend to be accountable to citizens: and pretend they do!

In my view the State and its Agencies must perform in an exemplary fashion if we are to progress.  A good example is worth a thousand words.

Gline Clarke talks from experience, says Goverment should help folks build a home!

Government Minister Clarke: love nest on expropriated land. Barbados news media let it pass!

Gline Clarke, Member for St. George North, said in Parliament the other day that government should be giving long term land leases and help folks to acquire mortgages to build homes.

Fair enough. On this small island where land is at a premium and Town Planning permissions to build turn scrub land into gold, there has to be some government control and oversight. But without Integrity Legislation and Freedom of Information, who will watch over the government people?

So give folks access to land and homes.

But when a Minister of Government like Gline Clarke ends up living on land his government expropriated…

Well, that’s something else, isn’t it?

How about it, Mr. Clarke? In five years you haven’t answered the people of Barbados about how you, as a Minister of Government, ended up living in a home on land that your government expropriated.

Your government never paid for the land after expropriating it, but that’s a pretty common story ’bout hey.

Man, if this was New Jersey or the UK, the news media woulda been all over the story. But this is Barbados.

So the newspapers ignored the story, but the people and the blogs doan forget!

Further Reading

Barbados Advocate: Opposition MP wants government allocate land to the poor.

A Barbados politician arrived in Heaven…

UPDATED: July 22, 2012

In honour of the Jersey politicians about to visit Barbados to consult with and take advice from Bajan politicians (Yeah. No kidding!), Barbados Free Press revisits this wonderful tale of a Bajan politician choosing between Heaven and Hell…

Original story first published August 30, 2011…

‘Integrity Legislation? That’s a good one!’ laughs the devil as he slaps his knee and pours the drinks…

While staggering down the side of the road one afternoon near Grape Hall, a well known Member of Parliament is tragically hit by a garbage truck and dies.

After a short stop in Bridgetown to pick up a cheap bottle of E.S.A.F. rum, his soul arrives in heaven and is met by St. Peter at the entrance.

‘Welcome to heaven,’ says St. Peter. ‘Before you settle in, it seems there is a problem. We seldom see a BLP or DLP politician around these parts, you see, so we’re not sure what to do with you.’

How much is Barbados paying GOL Airlines to fly to the island?

Tourism Minister Sealy does a little dance

The headline in The Nation states “Sealy clears air on Gol lure“. The “So and so clears the air…” headline is a big favourite of government and the news media because it says to a gullible public “Well, that’s explained then. Nothing to see here. Move along, move along.”

Whenever thinking Bajans see that “Clears the air…” headline, the red lights and alarm bells should start going off. “Clearing the air” is usually a smokescreen and once you realise that you find that the air is usually anything but “clear”.

Minister Sealy was responding to opposition charges that the DLP paid GOL some US$200,000 in January to fly half empty airplanes from Brazil to Barbados. Although Sealy denies the amount, he truthfully says that Barbados has guaranteed revenue for GOL Airlines and that it is hoped that this “investment” will pay off in the long run.

Okay, I can see this type of an arrangement being a legitimate strategy to open up new markets, but we are uneasy about the ability of our government and bureaucrats to properly make cost-benefit decisions. As Minister Sealy himself points out, the BLP government paid Air India US$300,000 to make one disastrous flight to Barbados and also arranged the $10 million dollar debacle involving hiring the Carnival Destiny for Cricket World Cup.

Our government is non-transparent and with the previous disasters we simply don’t trust Minister Sealy or anyone anymore to tell us the truth. Minister Sealy is still hiding the truth because he only denied the alleged amounts but didn’t state the facts.

But really… what can you expect from a government that promised to implement Freedom of Information legislation within 100 days of being elected: three years ago.

Minister Sealy: you and your DLP government lied to us before. Why should we believe you now?

Here is the article from the Nation. You should read it at their website here, but as usual we’ll reprint the entire article because the Nation has a habit of changing history…

How much is Barbados really paying for Dodds Prison? Why aren’t we allowed to know?

UPDATED: October 24, 2011

Corrupt Barbados politicians breath sigh of relief as last VECO accused is sentenced in Alaska.

Nothing was too good for any politician who could award multi-million dollar government contracts to VECO of Alaska. The corrupt company gave cash, renovated homes, bought cars, trips and condos for politicians as their standard method of operation.

That is just how VECO operated worldwide: they obtained government contracts by bribing politicians, but Barbados politicians would have you believe that none of that went on here. No Sir!

And what did the Government of Barbados do when Barbados Free Press broke the story to the Barbados public that VECO executives and politicians were being arrested?

Well… good old Attorney General Dale Marshall announced that he would have a meeting with VECO executives to get the truth of the story… to see if any improper payments were made by VECO to Barbados government officials and politicians.

Yup… Attorney General Dale Marshall met with those VECO executives for a half an hour one morning and then held a press conference to announce that everything was on the up and up because the VECO executives said it was.

This is the same VECO that the Owen Arthur/Mia Mottley BLP government of Barbados hired without open competitive bidding to build our oil terminal and our new prison. VECO had never built a prison before, but by god, they were given the contract as a gift by then Attorney General Mia Mottley and Prime Minister Owen Arthur.

How much did VECO give to BLP politicians?

One source says that Mia Mottley received over $100,000 in undeclared “campaign contributions” from VECO Corporation that she fed into her constituency office. This is only what the folks in the office saw and is probably a fraction of the total. After all, if VECO received a billion dollars in government contracts, you can bet that they paid out more than a lousy $100 grand.

Our same source says that Prime Minister Owen Arthur’s constituency office also received big money from VECO, but on the amount they are unsure. Would Arthur have accepted less than his Attorney General that he barely tolerated?

As far as the DLP government goes, they never requested any evidence from the FBI even though all the VECO accounts were available and tape recordings showed that payments and favours in Barbados were discussed. Throwing rocks in glass houses and all that.

So it’s all over now. The Corrupt Bastards Club of Barbados walked free from what could have been a very sticky VECO wicket indeed.

Congratulations boys and girls… with no Integrity Legislation, no Freedom of Information laws we citizens of Barbados will never know the details.

But we still can see the truth.

Reuters: Final defendants in Alaska corruption case plead guilty

Further Reading that should Outrage Bajans

November 17, 2008 – The FBI VECO Documents that Mottley and Thompson don’t want Bajans to see.

September 22, 2008 – Barbados Prime Minister Thompson Confirms Previous Government Officials Stashed Millions In Foreign Bank Accounts

August 20, 2008: VECO’s “Corrupt Bastards Club” has a Barbados Chapter

August 15, 2008: Why Won’t Prime Minister Thompson Investigate VECO’s Corrupt Acts In Barbados?

Original Article: March 4, 2011…

Government conceals the true costs of Dodds Prison for a reason

Finance Minister Chris Sinckler revealed in yesterday’s Nation that we pay $30 million dollars for Dodds Prison every January, but he didn’t say how much we pay during the other months, how much we’ve paid so far, or how long the payments continue.

We aren’t told how much VECO provided to Barbados politicians in “campaign donations”

Mr. Sinckler doesn’t tell us how much of a premium we paid for the “financing” of the prison versus how much it would have been to pay for the prison outright, or to have borrowed the money from other sources rather than through the BOLT method that was chosen. We aren’t told what the expected operating, refurbishment and depreciation costs are over the life of the prison. We aren’t provided with different models based upon varying scenarios of the prison’s life expectancy.

We aren’t told how much VECO provided to Barbados politicians in “campaign donations”, and we aren’t told how many “fact finding” trips by Barbados politicians were paid for by VECO. We aren’t provided with a list of every company, contractor or supplier who received payment from VECO associated with the prison.

And we sure aren’t told who the ultimate beneficiaries of the construction, operation and financing are because undoubtedly some of the elected and appointed government officials had a piece of the action then, and probably still do.

LPG prices up Sunday midnight, but we’re not supposed to know until 7pm

Barbados Government Information Service: This press release EMBARGOED UNTIL 7:00 P.M Sunday February 20

LPG PRICES UP AGAIN

There has been a slight increase in the price of Liquefied Petroleum Gas (LPG).

Effective midnight, Sunday, February 20, the retail cost of LPG will be increased in keeping with the imported price of petroleum products.  As a consequence, the 100-pound cylinder will now be retailed at $155.02 – an increase of 42 cents.  The 25-pound cylinder will now cost $41.40, up by 11 cents; while the 20-pound cylinder will now be retailed at $33.12 – an increase of 9 cents. (AR/BGIS)

Mark Pickering, meet Mark Atkinson… and bring some Certified Angus Beef

What do American cowboys think of Barbados?

What do Bajans think about Kansas beef?

Beef and Barbados, but our story is about much more than that subject…

Congratulations to Mark Atkinson who is the new executive chef at Tamarind Cove. I read about him in Barbados Today’s article Tamarind Cove gets new top chef where we also stole borrowed the above photo.

Mark Pickering is in charge of sales for Hotel Food Supplies in Bridgetown and although I don’t know him, I know about his work because I chanced upon a very interesting article in Drovers Cattle Network magazine: Five Minutes with Mark Pickering, hotel food supplies in Barbados.

The two Marks probably already know each other. I surmised that after reading a US cattleman’s magazine article about selling beef to Barbados. Thanks to the internet, I now have a better appreciation about how Bajans and their guests like their beef and how that differs from the South American markets and suppliers.

But that’s not the real message of this post.

CL Financial – CLICO scandal: Trinidad and Tobago ignores own Freedom of Information law, hides the truth

“…Of course that was a transparent ploy to frustrate my application”

Lessons for Barbados FOI

Afra Raymond

Afra Raymond’s Freedom of Information requests for the January 13, 2009 “Duprey” letter and the December 31, 2008 accounts for the CL Financial Group are being ignored by the Trinidad and Tobago government. The Duprey letter shows that CL Financial somehow misplaced almost $80 billion dollars in two months. Oh, well… what’s a few lost pennies to the taxpayers’ pockets?

Current Minister of Finance, Winston Dookeran, won’t even acknowledge Afra’s three FOI applications despite several reminders and requests. (Two requests under Dookeran and one under his predecessor, Karen Nunez-Tesheira.)

Under the T&T FOI laws, Dookeran is required to respond in 30 days, but guess what? There’s no penalty provision in the FOI law for failing to respond so the elected official is telling a voter doan humbug me because he can.

There is the lesson for Barbados. If we ever get our promised Freedom of Information law, it’s not worth a damn unless the provisions are there to hold officials accountable when they stonewall.

For more on why the Duprey letter is being suppressed, head over to Afra Raymond’s blog and read Freedom of Information Request for Duprey Letter of 13 January 2009.

Without Freedom of Information most government activity is a state secret

“There is no surer mechanism for guaranteeing transparency than a Freedom of Information Act and the various regulations that make it work.  It is long overdue in Anguilla.  Here, it is nearly impossible to obtain any information on the programmes or activities of any department of Anguilla.  Most government activity in Anguilla is a state secret.

It is long overdue that we bring that abortion of a system of government to an end.”

Don Mitchell writing at Corruption-free Anguilla

A shame that our corrupt Barbados politicians have never, and will never, pass Freedom of Information and Integrity Legislation. We recently heard that former BLP secretary and current MP Dr. William Duguid said quite unambiguously that Barbados politicians will never pass such legislation because it is not in their interest.

Quite right, Dr. Duguid. You should know.

Were the CLICO pension funds segregated and managed separately as required in law?

Prior to being appointed to his regulatory position, (current Barbados Supervisor of Insurance) Carlos Belgrave was the General Manager of a local company that manufactures “flour, animal and poultry feeds” … from OffshoreAlert’s 2006 “Worst Regulator” Award

Barbados Thompson Government continues with the CLICO cover-up

“There are many persons in Barbados who owe, not so much the public, but more importantly the Policy-holders of CLICO, a complete candid set of answers, free of rhetoric and put in the simplest form.

It is being re-iterated that Mr. Leroy Parris is still Chairman so he owes the first set of explanations. It is his responsibility even if he chooses to delegate it. If you are in charge, you have to face the music at crunch time. The Board of Directors must also show that they are not asleep at the wheel. The Board should have a full investigation and someone has to be held responsible. If no-one is responsible, the members of the Board will have to answer other questions.

Mr. Thornhill and the other members of CLICO’s management team must be more candid and direct in their statements. They have to come out of their state of denial and accept responsibility for this state of events. They cannot hide behind CL Financial because managing the risk of a CL Financial failure must have been one of the contingencies they were planning against.

Mr. Parris most importantly has to speak out on the issue of Pensions. As I understand it these funds ought to be segregated and managed separately. I am yet to hear a definitive set of assurances that these various pension funds are fully intact. If they are not intact, CLICO also has to come under closer scrutiny with a view to whether or not there was any breaking of statutes on the part of the company.

The Government of Barbados also needs to provide the public a full explanation of what appears to be a systemic failing of institutions that were created to protect the public interest. Furthermore, the former Prime Minister ought for the record to explain what was happening under his watch or that of any other Minister who might have had responsibility for the Office of the Supervisor of insurance.”

… taken from an absolutely excellent article by The Devil’s Advocate over at Ian Bourne’s Bajan Reporter: CLICO Unplugged: An Insider’s Perspective

Did Barbados Government Minister David Estwick threaten Opposition member with a gun in Parliament?

Cover Up not possible – Time for the truth

The Barbados news media has been full of coy references to an “alleged” incident where it is “rumoured” that Government Minister of Economic Affairs David Estwick threatened Opposition member Dale Marshall with a gun in Parliament.

Or so we’ve heard. Sort of.

No one, including Dale Marshall, will directly say what happened.

Opposition leader Mia Mottley is calling for a gun policy for Parliament, but won’t say why it’s needed. She says she won’t be in Parliament after April 20th if the government doesn’t implement a gun policy for members. (Nation: Gun Stand)

Some Government members privately say they are confused because they don’t think Mottley has ever seen a gun before and wouldn’t know what one looked like even if she held it in her hands.

Lawyer and journalist Stephen Alleyne skillfully wrote hundreds of words on the subject without mentioning the subject. (Barbados Advocate: Under Scrutiny: Over to you, Mr. Speaker!)

Similarly, Dale Marshall gave a press conference stating that democracy is at risk, but won’t say what happened to put democracy at risk.

“No member of Parliament should fear for his life and his safety when he is in Parliament doing the people’s business,” the former Attorney General said.

… from the Nation article Democracy at risk warns Marshall

OK… so what happened?

As Stephen Alleyne pointed out in his article, Parliament has always be a sacred place where the peoples’ representatives can often push the limits without being arrested to interfered with. But there are limits.

Was Estwick carrying a concealed handgun in Parliament? Why?

Did he threaten Dale Marshall with it? Did Estwick pull out his gun and shove it in Marshall’s face? (That would be a sight!)

Or… were they having an argument where there was no reference to a gun but Marshall saw that Estwick was carrying a handgun (or already knew he habitually carried a weapon) and decided to make something of it by making up a story?

We, the public, deserve an answer and we’re not going to put up with another protracted “investigation” that fades off to nothing in six months.

Mia Mottley says she’ll pull out of Parliament if the government doesn’t put in place a gun policy by April 20th.

That is a dishonest position on her part. Dishonest because she hasn’t the courage to let the truth be told – whatever it is. Mottley and Marshall are throwing innuendo at the public for political purposes.

If Estwick actually threatened Marshall with a gun in Parliament – that is the peoples’ business. We deserve a full explanation from everyone involved.

So far all we have is innuendo. We the people deserve more respect from Mottley and Marshall.

Reader asks: Is corruption widespread in Barbados? With no Freedom of Information, how do citizens examine the facts?

Freedom of Information is not about media freedom

“It is important to review the Freedom of Information Law. Freedom of information is not about media freedom. It has to do with access to information and disclosure which can enable public discourse.

The right to information is a crucial underpinning of participatory democracy. Promotion of open government and maximum disclosure can be the single most important step towards eliminating corruption.”

… sent by a contributor to BFP who didn’t inform us if it was OK to use his name. 

CL Financial bailout is a grievous attack on the very integrity of our Treasury

“We have now been bound into a long-term arrangement to restore the fortunes of one of the Caribbean’s riskiest adventurers.”

“…it seems clear that the cupboard is bare and that this CL Financial group has no unpledged assets of any value.”

“We are… advancing an unlimited quantum of taxpayers’ funds, for which no security has been provided and those funds are being advanced at ZERO interest.”

“…the State (takes) all the risk, a massive injection of capital, responsibility for management, yet even in the case of a successful outcome there is no return either by way of interest on the funds advanced or equity in the rejuvenated enterprises.”

“..where is the $5.0Bn missing from the CLICO Statutory Fund?”

These are some excerpts taken from Afra Raymond’s latest article on the CL Financial – CLICO bailout. Afra used a Freedom of Information demand to obtain the June 12, 2009 CL Financial shareholders’ agreement with the Trinidad & Tobago government – and what a scam that agreement is.

Afra explains how we taxpayers are being raped to save the skins of a few big shot friends of government – and it’s not just the Trinis.

With the full and enthusiastic participation of their David Thompson DLP government, Barbados citizens are also being raped as our Prime Minister uses our money to bail out the Godfather of his children, long-time legal client and political supporter, Leroy Parris.

Barbadians of all ages, colours and political stripes should read Afra Raymond’s articles – but they should also think for themselves as they read the original documents that are posted on Afra’s website.

Florida: Just one of the Duprey family mansions

Taxpayers take all risks while the Bigshots keep their Mansions

My friends, you don’t have to listen to what Afra says. You don’t have to listen to what Barbados Free Press says. You can think for yourself so read the original documents and make your own list of questions and demands of the elected politicians who have pledged the wealth of your nation and your future in a bailout that lets Parris and the Dupreys and the rest of them keep their mansions and offshore bank accounts.

As CLICO's lawyer, PM Thompson helped build the house of cards

Then ask Barbados Prime Minister David Thompson to show all the CLICO – CL Financial bailout documents and business records that remain hidden from the taxpayers because Barbados does not have a Freedom of Information law.

Here is Afra’s latest article published in full. You really should visit his website and read it there, but we’ll leave it up here in full because… ya never know!

COMMENTARY on the CL Financial Shareholders’ Agreement of 12th June 2009
By Afra Raymond, Chartered Surveyor

Read this article at: www.afraraymond.com

FOR YOUR INFORMATION: A copy of the official agreement between C.L. Financial Limited and the Government of Trinidad and Tobago (PDF) has finally been delivered to me per my request under the Freedom of Information Act.  The CL Financial Shareholders’ Agreement (SA) of 12th June 2009, which I requested on 16th November 2009 under the Freedom of Information Act, was sent to me by the Ministry of Finance on 11th March 2010.  My emailed response to the Minister of Finance is on the home page of this blog.

My preliminary comments are -

Quantum – The shareholders’ agreement (SA) is silent as to quantum, which would seem to mean that the group will enjoy unlimited access to taxpayers’ funds.  The 2010 budget statement on 7th September states an estimated allocation to the CL Financial bailout of $5.4Bn – but subsequent events have only added to the confusion.  To wit, the $50M USD for the British-American Insurance recovery (as per 2nd November ECCU press release) and the ‘up to $510M’ announced to be available to meet the pensions due to ex-Caroni workers.  Question being whether the $5.4Bn includes the subsequently-announced amounts or are those to be added-on?

Security – At the preamble to the SA – on page 5 – we are told that “…valuable consideration…” is being offered by CLF as per the original MoU.  Of course, given the Governor’s revelations on 7th April 2009 – see http://guardian.co.tt/business/business/2009/04/08/govt-left-empty-handed-cl-financial-bailout – that is simply not so.  Indeed, it seems clear that the cupboard is bare and that this CLF group has no unpledged assets of any value.

Interest – No mention of interest at all.  We are therefore now advancing an unlimited quantum of taxpayers’ funds, for which no security has been provided and those funds are being advanced at ZERO interest.  Given the well-established rule that late payment of taxes makes a taxpayer liable to 20% interest and the interest rate the Federal government charged AIG for their bailout funds – it was 8.5% above the benchmark LIBOR, which was at 3.0% – it is clear that this represents a massive concession to the CL Financial group.  Quite apart from the bailout itself, the 325 shareholders of this group are also benefiting from this unprecedented and unexplained facility of ZERO percent interest rate.

Accounting – Section 4 of the SA sets out the procedure for a proper system of accounts, culminating at 4.4.5 – “…shall ensure that an annual report of CLF is prepared and dispatched…in manner consistent with standard corporate practice…“.  The accepted interpretation of this language informs us that the word ’shall’ denotes an obligatory, non-voluntary duty.  If that is the case, when can we expect publication of the 2008 annual report, accompanied by audited accounts, as per ’standard corporate practice’?

The role of the Shareholders – The MoU of 30th January, at Para (c) of its preamble, spells out its aims as “…to protect the interests of depositors, policyholders and creditors of these institutions…“.  According to the second sentence of the Ministry of Finance press release of 12th June 2009 – this is the penultimate document in the ‘Quick-Guide’ in the CL Financial bailout section of this website – “This new agreement is designed to give substance to the Memorandum of Understanding (MOU) of January 30th 2009.”  The SA of 12th June 2009 was the subject of that press release.  The SA, at Para A. of its preamble, states the intentions of the parties as having been set out in the MoU of 30th January 2009 and ends by “…their stated understanding, inter alia, that certain steps be taken to correct the financial condition of CLICO, CIB and BA in order to protect the interest of depositors, policy holders, creditors and shareholders of these institutions…” (These two words are put in bold as my own emphasis).

I questioned that official version in ‘Fit and proper?’, ‘Party of parties’ and ‘Figuring it out’ – all available on this blog.  Now that we have the actual SA to work with, it is clear that the statement in 12th June press release is extremely misleading.  The SA does not just ‘…give substance to…‘ the original MoU, it in fact is an entirely different species of agreement.  The Shareholders’ Agreement constitutes a written guarantee to protect the 325 shareholders of this CLF group.

Assisting the incoming Management – Clauses 2.3.3 and 2.3.4. of the SA, require the outgoing CL Financial chiefs to render all assistance to the incoming Board and Management in terms of all records and accounts etc.  The question here is ‘Have the new Board and management been receiving the full assistance of the previous CLF chiefs?’  If not, what is being done about it?  If yes, where is the $5.0Bn missing from the CLICO Statutory Fund?

“…several important and shocking facts came to light.”