Lead Editor Investigations
asha.javeed@guardian.co.tt
Three days after the failure to launch Star Network, a mobile solutions option for customers, owner Keron Les Pierre was asked to leave the Invaders Bay co-working space where he had set up shop.
Last week, Les Pierre had a botched launch of an event that he has said would revolutionise the mobile industry.
His pitch was to sell phones and laptops at $1.
“The launch event is scheduled to take place at Level 2, Invaders Bay Tower, located adjacent to MovieTowne in Port-of-Spain,” the press statement had said.
However, it was shut down after hundreds of people showed up for an event that was essentially a one-man operation.
Les Pierre was using the co-working space by Regus, the world’s largest provider of flexible workspace which currently rents space within the Woodside Building for its Port-of-Spain Business Centre.
In an interview with the Sunday Guardian last week at Guardian Media’s St Vincent Street office, Les Pierre, the CEO of Star, said that the management asked him to terminate their arrangement which he had in place since 2018, given the unexpected crowds and chaos which resulted in tenanted people not being able to access the building.
The Sunday Guardian understands that the package he initially purchased from the Regus was an address-only package, which would allow him to receive mail and use the address for business purposes.
However, before the launch, he had rented the facility’s boardroom which is available for up-to-date paid tenants.
The Sunday Guardian was told that no notification was given to Regus for a launch event and that on the day that left tenants blindsided by the crowds.
In a comment on the matter, Stephanie Quesnel, Regus’ general manager said, “At Regus, we have policies and procedures in place that must be adhered to by all clients across our global network of 3,500 centres. These policies are in place to ensure a safe and professional environment for all our clients. In this instance, our address was utilised without any authorisation in which to do so and subsequently caused a large influx of members of the public unexpectedly showing up to our location. The scenario was in breach of many of our clauses and resulted in us having no choice but to terminate service.”
A section of the crowd gathered at Invaders Bay, Port-of-Spain, for the launch.
KERWIN PIERRE
Didn’t read the fine print
While excited by the interest, Les Pierre, 36, said the situation could have been avoided if customers had read the fine print.
But what exactly is that fine print?
Here’s what it is:
It’s not a separate mobile entity. Rather, Star is using sims from Digicel for its devices which would run on the Digicel network.
The Sunday Guardian understands that Les Pierre secured 10,000 Digicel sims for the phones.
Customers who choose to acquire the devices at $1, would be signed on to a subscription service which they would have to pay for monthly. The $1 would be the initial cost of hardware only. So, the full cost of the device would be covered over time with the cost of the subscription. Ultimately, Digicel is the end provider service on either device.
The hardware–the phones and laptop–are manufactured by an “Asian” firm specifically for Les Pierre. The software is provided by Microsoft’s affiliate PC Clinic. He did not disclose the exact location or company from which it is being sourced.
The “fine print” was not made public or disclosed to customers in the company’s release.
Instead, the press release led customers to believe that there was a third mobile operator with devices for $1.
When the Sunday Guardian pointed out that the fine print was not included in the press release and perhaps it was disingenuous to omit that it was powered by an existing mobile services provider, Les Pierre acknowledged that more information should have been provided to potential customers.
The press release led to TSTT’s chief executive Lisa Agard issuing a swift call of action to the Telecommunications Authority of T&T (TATT) to intervene.
Les Pierre, who has a diploma in marketing from the School of Accounting and Management, said that the only rebuke he received from TATT who visited on the day was to remove the word ‘mobile’ from their tag.
In his view, his launch was successful.
Who is Les Pierre?
Les Pierre acknowledged that there was scepticism about the operation in the public domain, and he had heard the descriptions of himself as a “con man” and a “smartman”.
Instead, he describes himself as “a visionary and an entrepreneur.”
Last year, Les Pierre, in his capacity as CEO of Grapes Technology, was among the finalists of the entrepreneurship category at T&T’s Champions of Business Awards 2022.
At the time, Les Pierre, a young entrepreneur, was hailed as one of the Youth Business of T&T’s (YBTT) many success stories.
“Les Pierre created an online tutoring service called GRAPES (Good Remedies A Parent Should Exercise Socially) which equips children (from childhood to secondary school) with all the support necessary to realise their fullest potential. Les Pierre received financial and mentoring support for his business from YBTT,” their FB message on his achievement said.
He said that GRAPES was an online programme for children offering lessons in mathematics, English, and psychological support.
This was pre-COVID.
And the $1 Laptop for Better Schools initiative was born in early 2018.
The service was available by subscription and Les Pierre said he had 8,000 subscribers.
He said during the pandemic, there was a need to have more devices and he was able to source the devices from the Asian market and offer it at cost price.
Les Pierre branded the laptops and phones and Star was born with the ability to offer the service nationally.
He concedes that some children who used the laptops found them flimsy with not enough memory but said that complaints are made about most products.
The Star team are Marion Jones-Scott and Shakedar Veris and Les Pierre.
Financial troubles
Les Pierre admitted that he ran into financial troubles with a firm he hired to help him.
The firm, Firstline Securities, had agreed to finance a $3.2 million facility but the deal fell through.
When a valuation was done on the collateral for the financial facility, a property in Penal for which he wanted to build houses, it was valued lower than he had projected it to be worth.
In addition, he said, Firstline said they could not get anyone to buy into the investment.
At the time, he said he had already received $150,000 from Firstline Securities.
But unable to complete the financing of the deal, Les Pierre said it landed him into some challenges with his credit cards.
This pushed back his launch, which was supposed to be earlier in the year, as he couldn’t cover the cost of devices.
He said Firstline has since issued him a pre-action protocol letter to repay sums which included interest, and money expended and he had engaged an attorney and was dealing with the matter. He did not want to disclose exactly why Firstline was suing him. For its part, Firstline’s chief executive Keith King simply answered: “Financial institution, no comment.”
Les Pierre said that he intends to re-launch at another location as he was enthused by the response.
He said that he will work with an appointment system moving forward.
“What we are going to do on social media is post what day and time you can come back as it is going to be an appointment system, so, for now, you can log on to Instagram and Facebook, where you will give us an email and we will then do it through an online appointment system to manage the crowd,” he said.