In the previous article, I dismantled the false narrative as to the satisfactory ‘Underlying Commercial Arrangements‘ for our State-owned hotels. To do so, I used the official records of the Parliament and its Joint Select Committees. Those records actually tell this sorry story, but it is possible to rely upon the sheer mass of material to effectively mask reality.
The defenders of these rotten arrangements are unable to rebut the official record, so some have now taken to claiming that the accounts do exist and that I should admit my errors. Well I tell you.
In between the political loyalists who have a unique way with facts and the very shortage of those facts, one needs to establish certain cardinal points if we are to make sense of all this Carefully Crafted Confusion.
So here are my cardinal points to understand this puzzle –
Capital Expenditure is all ours – every cent is our Public Money;
Repairs and Maintenance – Ditto;
Returns to Private Sector – These are obviously at or above target rates, since both Hilton and Hyatt have persisted in their POS operations. If the returns were below target, those operators would have exited, which is what Hilton International did in Tobago in 2008;
Returns to Public Sector – Unknown – since there is no commitment to accountability or transparency, despite the periodic claims to the contrary from various high-ranking officials;
Private Sector Audited Accounts – We can be sure that those exist at the Private Sector level and are made available in a timely manner to the shareholders and stakeholders of those companies. No Chief in that arena could survive a failure to produce audited accounts in the required manner – that would be grounds for instant dismissal, for cause and without compensation. Of course there is no way a Private Sector Chief could ever refuse to provide those records to its shareholders and stakeholders;
Public Sector Audited Accounts – These are never available, for whatever reason. The Public Sector Chiefs routinely fail to produce these records and even when formal requests are made via the Freedom of Information Act, those are refused. No Chief in that Public Sector arena has ever been removed or disciplined for their flagrant failure/refusal to account;
The "Big Lie" is a propaganda technique referred to by Adolf Hitler in Mein Kampf, where a "colossal untruth" is stated and repeated as if it must be true, in order to influence a discussion in a direction that takes the lie for granted, rather than critically questioning it
The concerted attempts to sell the Tobago Sandals project were driven by high-level Public Officials who repeatedly assured the public that the existing arrangements for the three State-owned hotels were working satisfactorily. So much so that we should be pleased that the existing arrangements were to be adopted for the new project. The two main promoters were PM, Dr Keith Rowley and the Minister in the Office of the PM, Stuart Young.
Of course, we now know, due to the unplanned publication of that Tobago Sandals MoU, what were the terms and conditions on which the State intended to engage that project. No other hotelier had ever had a deal like that.
But there is a deeper series of official conversations on these existing State-owned hotels which need to be spotlighted so that a better view can be had as to ‘Who is Who and What is What’.
On the evening of Tuesday, 15 January 2019, Political Editor at CCN TV6 Juhel Browne (Right) spoke with (L-R) CCN’s Head of the Multimedia Business Desk, Anthony Wilson, UNC Senator Saddam Hosein and Chartered Surveyor and Transparency Advocate Afra Raymond on the turn of events following the withdrawal by the Sandals Group from the deal with the T&T government to manage a Sandal/Beaches resort in Tobago.
Afra Raymond is interviewed by David Walker on 104.7 MORE FM on the debacle of the collapse of the projected Sandals managed luxury resort in Tobago. The MoU details and the actions of the State in its negotiations towards the MoU are discussed. Audio courtesy MORE 104.7 FM
Programme Date: Thursday 17th January 2019 Programme Length: 00:27:40
Afra Raymond was interviewed on The Morning Brew on CNC3 Television regarding the pull out of the Sandals Group from the proposed deal to manage a new Sandals and Beaches resort in Tobago. The publication of the details of the memorandum of understanding is questioned as a catalyst for the pull out decision. Video courtesy CNC3 Television
Programme Date: 16 January 2019 Programme Length: 00:12:58
Last week’s article outlined the research I have been conducting, with the support of my colleagues from Disclosure Today, into the ‘Underlying Commercial Arrangements‘ of the State-owned hotels in this country. Those are the decisive details which drive projects of this nature and from which the substantial public benefits ought to flow.
Details of the unhelpful responses from the various agencies with whom we engaged via the Freedom of Information Act only went to show that the actual conduct of these large-scale public private partnerships were virtually opposite to the repeated statements about openness and having nothing to hide. The Ministry of Finance was the only public authority to give a prompt and clear response.
“The leading learning from which we have drawn serious lessons is Lord Sharman’s 2001 Report to the British Parliament ‘Holding to Account‘, which was a thorough examination of the definition, role and need for control of ‘Public Money‘. We expanded on Sharman’s definition of ‘Public Money‘ so as to capture the full range of possibilities, but we have accepted his key finding as to the requirement that ‘Public Money‘ is to be managed to a higher standard of Accountability and Transparency than Private Money – see 2.23 on pg 15. The contemporary, best-practice position in respect of the management of and accountability of Public Money being that the private sector rules are the bare minimum.”
This proposed large-scale investment would require significant sums of Public Money to be committed to the project. That commitment would be via direct investment or lease rentals; tax/duty concessions and expensive externalities such as improvements in the water/sewerage and electricity services or the expansion of the Crown Point Airport facilities. Continue reading “Property Matters – Tobago Sandals part three”→