Transparency Institute of Guyana Inc (TIGI) said yesterday that a conflict of interest exists even though Minister within the Ministry of Natural Resources Simona Broomes has transferred her mining dredge to her children and called for her to declare same.
The transparency body, speaking for the first time on the issue, said Broomes’ subordinates may feel that they have to be favourable in the way they treat persons related to or associated with her.
In a press release issued yesterday, TIGI said conflicts of interest should be avoided at all costs.
“TIGI is of the view that, especially in a small society like ours, conflicts of interest and related party concerns will arise and such situations should be avoided as far as possible. That notwithstanding, what is required… are clear mechanisms that ensure transparency and third party monitoring; and of course awareness and acknowledgement of the conflict of interest position by all concerned.”
Questions were recently raised about the approval of an application to operate a dredge in the name of Simona Broomes, the daughter of the Junior Natural Resources Minister. The two share the same first and last name. The minister had related to the Stabroek News that she transferred the piece of mining equipment to her children. However, only one name appears on the application made to the Guyana Geology and Mines Commission (GGMC).
Both President David Granger and Minister of Natural Resources Raphael Trotman have supported Broomes’ position that a conflict of interest does not exist.
TIGI’s statement pointed out that affirmation of conflict of interest is neither an evaluation of an individual’s character nor an assertion of any intent to engage in wrongdoing on the part of that person.
“It is more a concern about whether it is possible for her [Broomes] to use her position to extend special privileges to individuals or entities with whom she is related, or for personal benefit. It is about whether impartiality is guaranteed for all by the system or structure or set of arrangements in place. Furthermore, it is a concern that the very conditions prescribed for an absence of a conflict of interest should be applicable to all individuals who have held and who will hold such an office in the future. Essentially, the same conditions must be consistently applied and should not depend on the individual under consideration,” the release said.
It was pointed out that the issue of conflict of interest regarding Broomes, given her direct personal stake in the mining industry, has resurfaced and comments have been sought from TIGI.
“In response to the concerns about her personal stake [in] the industry, Minister Broomes’ mining operations have now been transferred to her children. In spite of this recent action, a clear conflict of or ‘related party’ interest would exist whenever matters affecting the mining operations of the children of Minister Broomes are either handled or contributed to by Minister Broomes,” the release said.
TIGI pointed out that “one should also be wary that junior officers might feel obliged to act in a manner that gives favourable treatment to people associated with or related to the minister, even (or especially) in matters for which the minister would have declared conflict of interest.”
While noting that the popular recommendation at present is that Broomes be moved to another ministry, TIGI said that “this recommendation is rooted in the experience of the recent past combined with current low level of accountability to the people.”
Against this backdrop, it said, intolerance of a more nuanced alternative is understandable, however it might be appropriate if applied in its entirety.
TIGI posited that Broomes should first declare conflict of interest and recuse herself from all relevant matters.
Additionally, it said, the ministry would need to become more transparent and more accountable to the public. “It would then need to make information available to be scrutinised in order to promote public confidence in its operations,” the release said.
A document bearing the Guyana Geology and Mines Commission (GGMC) letterhead and which is dated April 5, 2016, stated that permission has been given to Simona Broomes, of Lot 8 West Indian Housing Scheme, Bartica, to operate a dredge from March 4, 2016 to March 3, 2017. The dredge, bearing the number SD #1967, according to the document, is to be operated on a permit located in the Puruni River, which is held by E Hopkinson.
The application form was dated March 4, 2016.
The senior Broomes, in a comment to Stabroek News over the weekend, insisted that there was no conflict of interest. “All the family ever does is mining. So, in no way at all I don’t see it as a conflict of interest. There is no preference or anything that I have to give there,” she said.
Her daughter is currently studying abroad, raising questions as to when she might have developed an interest in mining. When asked about this, Broomes reiterated that the members of her family have been involved in mining all their lives.
The successful application would raise concerns about whether the junior Broomes is a proxy for the minister.
Granger said on Thursday, during a recording of “The Public Interest” that Broomes would either step down or be reassigned to another ministry if a conflict of interest arises.
“At present, I do not see any need to remove her and we have a draft code of conduct and if any situation were to arise, I am very confident that she [Broomes] would be put in another place or she would demit office but that situation hasn’t arisen at the present time,” he stated.
His views are that the functions that the minister performs “do not necessarily come into conflict with the fact that her children own that property.”
Earlier this year there were claims of conflict of interest over her leasing mining lands to Pharsalus Gold Inc (Troy Resources), while being the junior minister in a ministry which has control over the mining sector.
