By Sue-Ann Wayow
TAXPAYERS may have to foot a bill of more than $800 million stated company Estate Management Development Company Ltd (EMBD) was ordered to pay to La Brea construction company Namalco Construction Services Ltd.
This is according to Member of Parliament for Oropouche East Dr Roodal Moonilal who spoke at an Opposition media briefing on Thursday.
He described the entire matter as a “horrible situation.”
Dr Moonilal referred to the judgement on Tuesday by Justice Ricky Rahim in which he ruled that EMBD had to pay Namalco $427 million for works conducted on four projects, two of which are still before the court.
Dr Moonilal also referred to a statement that EMBD issued on Wednesday stating that it actually saved taxpayers hundreds of millions of dollars in that matter.
He said, “Before you declare victory, find out how much you have to pay. Mash brakes immediately… Don’t talk about win or lose, you are celebrating prematurely.”
The MP said it was distressing that within the Covid-19 pandemic, in an era of economic uncertainty, citizens now had to fund millions of dollars for projects due to Government’s inability to initially pay the contractors.
Dr Moonilal said under the People’s Partnership government, negotiations were made instead of heading to court to deal with payments to companies for works done.
He claimed that the People’s National Movement (PNM) Government was more interested in giving out huge sums of monies to friends and family involved in the matters and that “somebody is happy going to the bank”
Dr Moonilal said, “Many professionals involved in these matters are linked to the PNM, are direct relatives of high PNM officials many professionals and we will call their names as we go along. They are linked to these matters and obtain huge fees from these ongoing matter.”
He said EMBD was a company established under the Patrick Manning administration and most of the projects outlined in the judgement were given out before the People’s Partnership took office in 2010.
Dr Moonilal, a former housing minister, became the line minister for the EMBD in 2012.
He also warned the business community including contractors to be wary of dealings with the government.
Dr Moonilal said Government should have been negotiating with companies owed instead of fighting them in court adding that Namalco was not the only contractor owed.
“They claim they don’t have money for food card. They don’t have money for social services. I heard this week in the education sector in two education institutes UTT and another one, they can’t pay wages. So in a country where they are saying they can’t pay wages, they just lost a court battle involving $700 to $800 million,” he said.
Dr Moonilal repeated a question asked on Monday night by Opposition Leader Kamla Persad-Bissessar.
She had asked if the EMBD will be shut down in a similar manner in which the Education Facilities Companies Ltd (EFCL) will be closed down pending inability to pay contractors, a matter that is also before the High Court.
Sean Sobers also spoke at the press conference and highlighted issues raised by Persad-Bissessar on Monday including the allegation of the Government’s use of spyware on citizens.