The bulk of monies allocated for the Ministry of Legal Affairs will go towards the balance owed to Surinamese beverage company RUDISA International NV, which had won a judgement against the former government at the Caribbean Court of Justice (CCJ).
Minister of Legal Affairs Basil Williams and his predecessor Anil Nandlall on Tuesday bickered over where $1.2B allocated this year under the rubric ‘Other’ in the budget estimates would go, with the minister reminding Nandlall that most of it was to complete pay off of an inherited debt.
“The balance of the payment for RUDISA, which will be over USD$3.2M… most of it would go there,” Williams told the Committee of Supply as estimates for the 2016 Budget were being considered.
“The Honourable member Nandlall would be familiar with this since we inherited it from him,” he added.
Nandlall would not take the blame as he fired back from his seat, “Then why didn’t you pass the law?”
Last year, RUDISA agreed to accept US$6.22M from the award made to it by the CCJ, after negotiations with the government. Guyana had owed US$7.72M based on a 2014 ruling by the CCJ, which had found that an environmental tax imposed by the country was in contravention of the Revised Treaty of Chaguaramas (RTC). RUDISA and CIDI Distributor, which distributes the beverages in Guyana, had filed an application with the CCJ alleging that the imposition of the environmental tax by Guyana was a breach of the RTC.
Guyana was also ordered to take the necessary legal or other measures to prevent the collection of the environmental tax on goods of Caricom origin. According to the ruling, the country was also obliged to file a report with the Court within six months on its compliance with the orders made by the Court. There was no compliance with the orders as the then APNU and AFC opposition had voted against a legal amendment on various grounds.
The squabble between Williams and Nandlall set the tone for the duration of the consideration of the estimates for the Ministry of Legal Affairs.
Nandlall questioned why after some $16.5M was approved last year for the purchase of a vehicle, $6.5M was needed this year for the same item.
Williams said that he had to intervene to save government the $16.5M last year and that the monies were returned to the Ministry of Finance. He said when he took office it was realised that the money was paid for a new vehicle but that a used one was being pushed off on his office. “In fact, a vehicle was purportedly imported and represented to be a new vehicle and when it was inspected by me and my staff it was discovered to be a used vehicle and the customs personnel described it as a used vehicle,” Williams said.
The Attorney General stopped short of relating the entire matter to the House and said this was in the event he decides to take up legal action.
But Nandlall was quick to his feet to question why, if Williams discovered a fraud, he didn’t call in the local police.
When Williams maintained that the plans to purchase the vehicle were made before he took office, Nandlall insisted on deeper probity. “Well we gon gat some problems now,” he stated before rising to challenge Williams. “I am saying to this House that the budget that was presented in this House had in it a vehicle. That budget was signed by the Honourable Attorney General, we appropriated for that vehicle. So, if he is saying that the state has been defrauded, I want him to tell the public what he has done to get back the monies he claim was defrauded,” he said.
The two began an exchange with Nandlall’s consistent thrill of “ah want the police call in” deafening all other heckles and utterances of the other members.
The former Junior Finance Minister Juan Edghill also contributed to the heated arguments but pointed out that he wanted know why, if the expenditure for the vehicle was not incurred, it was reflected in this year’s budget.
“The money was refunded to the Ministry of Finance,” Williams said, after upsetting Edghill by saying the money “is not in any church.”
Meanwhile, Williams also announced plans to purchase two lots of land near to his office for $40M and fix the roof of the ministry at a cost of $750,000.
All sums allocated for the ministry were approved.
