Lead Editor Investigations
asha.javeed@guardian.co.tt
Two years after it was established, the Government has taken the decision to shut down the Secondary Roads Rehabilitation and Improvement Company Limited (SRRIC).
On Thursday, the Government moved to fire the existing board—deputy chairman Wendell Seecharan, Lincoln Anthony, Neville Adams, Shazim Mohammed and Debra James—and appoint public servants from the Ministry of Finance, which include deputy permanent secretary Jennifer Lutchman as chairman.
The company was first placed under the Ministry of Local Government with a $100 million capitalisation when it was created in June 2022, but then moved to the Ministry of Works and Transport (MOWT) last year and will now be under the Ministry of Finance as the winding-up process begins.
The move comes after former chairman Herbert George resigned and two audits are currently being conducted into the company, amid tensions between the company’s CEO Antonio Ross and MOWT and a complaint lodged to the Office of the Procurement Regulator (OPR) on allegations of collusion, price-fixing and bid-rigging, which was exclusively reported by Guardian Media.
On Wednesday, Ross appeared before Parliament’s Public Administration and Appropriations Committee (PAAC), chaired by Speaker of the House Brigid Anisette-George, and likened SIRRIC to “an outside child” of the MOWT.
Guardian Media was told the company’s board was unaware of the PAAC meeting, as only Ross and finance manager Curlan Guiseppi appeared on behalf of SIRRIC.
At the meeting, Ross said the SIRRC had to respond to the findings of the Ministry of Finance’s Central Audit report, which was completed and submitted to MOWT this week.
Despite this, Minister of Works and Transport Rohan Sinanan yesterday confirmed that one day after the hearing—at Cabinet on Thursday—the Government took the decision to shut down the company, as it had now become irrelevant.
Sinanan explained that when SIRRIC was first conceived, it was to deal with secondary roads in the corporations.
However, with the passage of the Procurement Legislation and Local Government Reform in the past two years, he said the mandate for secondary roads now fell under the regional corporations, rendering the company irrelevant.
Asked why the boards were switched out, he said, “This is what usually happens when you are winding down a company. That board will wind up the company, ensure that contracts are finished off and all outstanding work paid for.”
Guardian Media was told that while SIRRIC was only supposed to have about 12 employees when it was started, given that its focus was only on procurement and supervision, the company now has 25 employees who will soon be given separation letters.
As he wound up debate in Parliament last night, Prime Minister Dr Keith Rowley described the matter as “orgsanised action” to wind up the company.
He dismissed Oropouch MP Roodal Moonilal’s statement earlier that the board was fired. He said as a result of a wind-up action, the board was removed. (See other story)
Competition with PURE
Already, SRRIC has used $70 million of the $100 million it was capitalised with when set up in 2022.
The Sunday Guardian had reported that when SRRIC was moved to MOWT, Ross was directed not to issue new contracts but did so without the approval of the MOWT.
A concern was that the rates being paid by SRRIC were double what are present industry market rates.
According to SRRIC’s website, it awarded 52 projects for the period September 2023 to finish in January 2024.
The website said the method in which the contracts were awarded were “Selective”.
The companies awarded are: Coosal’s Construction Company Ltd—19 contracts; Conaft Ltd—16 contracts; Ricky Raghunanan Ltd—six contracts; Danny’s Enterprises Ltd —five contracts; General Earth Movers Ltd—four contracts; Renold, Dexter, and Collin Creative Construction Ltd —one contract, Trinidad and Tobago Innovative Contractors Ltd - one contract.
In April, when Guardian Media broke the story, Sinanan said, “We have advised the company of the necessary Government compliance requirements in accordance with the state enterprise performance manual for State entities as well as the Ministry of Finance requirements for the release of funds.”
In August 2022, Prime Minister Dr Keith Rowley announced the establishment of the SRRIC.
In his 2023-2023 budget contribution, Finance Minister Colm Imbert had explained: “Our road infrastructure, which had deteriorated during the pandemic when resources were redirected to the health sector, would now undergo a major repair and rehabilitation exercise.”
The SRRC was capitalised with an initial $100 million and Herbert George was appointed executive chairman.
“A further $100 million has been allocated for this company in 2023, making a total of $200 million immediately available for repair of secondary roads. We expect the company to use these funds proactively to carry out much-needed secondary road repairs throughout the country; Additional allocations have also been provided for the 14 Municipal Corporations,” Imbert had said.
At Wednesday’s meeting, however, Ross said the MOWT’s Programme for Upgrading Roads Efficiency (PURE) programme was given more attention than SIRRIC.
In 2022, Sinanan said the mandates of the two entities are different.
“There is no expected discontinuance of the PURE Unit. The mandate of the two entities are not the same. In keeping with the mandate of the MOWT, the PURE Unit mainly addresses Highways and main roads, while the Secondary Roads Company will focus on local Government roads. The Ministry will work with the new company to provide technical assistance where required,” he had said.
PURE began as a short to medium-term solution to address distressed roads.
According to the MOWT’s website, it “has since evolved into an entity responsible for Project Management initiatives that promote healthy roads across the country.”
According to its website, the mandate of SRRIC is to develop the existing infrastructure of secondary roads by focusing on road repair, rehabilitation, and upgrade works throughout Trinidad to enhance road capacity, improve existing road infrastructure, and ensure consistent road accessibility and connectivity throughout the country.