Senior Reporter
derek.achnog@guardian.co.tt
The incoming Estate Management and Business Development Company Ltd (EMBD) board will have the final say on the fate of its ongoing multi-million-dollar cartel lawsuit against a group of contractors, former EMBD officials and former housing minister and current Energy Minister Dr Roodal Moonilal.
The yet-to-be-appointed board’s role in the controversial case, initiated under the previous People’s National Movement (PNM) administration, arose yesterday during the first case management conference before High Court Judge Frank Seepersad.
EMBD lawyer Andrew Hunter, KC, said the new board will have to make several decisions on the case, including approving court filings and the costs associated with expert witnesses.
Hunter said: “I wish I could give you an exact date but it is government appointments. We hope it will take weeks and be done by the end of July. It is not ideal by any means.”
Justice Seepersad adjourned the case to November 24 for the process to be completed and for EMBD to report back to him.
However, Justice Seepersad expressed hope that the EMBD’s responses to the defence raised by the defendants in the case would not lead to protracted procedural appeals, as occurred before it (the case) was transferred to him when Justice James Aboud was elevated to the Court of Appeal.
“These are the oldest matters on my docket. I absolutely have no intention of having them linger on without being determined one way or the other,” he said.
During the hearing, Justice Seepersad also took issue with the absence of Moonilal and other defendants, who were represented by their lawyers.
“I am very much not satisfied when I’m being told that persons have commitments that seem to obviate their ability to appear before the court,” Seepersad said.
“Necessary arrangements are to be made, and unless there are exceptional circumstances which the court should be informed of prior to the hearing, I really expect the defendants to be present,” he added.
The substantive lawsuit centres around 12 contracts for the rehabilitation of roads and infrastructure, which were granted to five contractors before the September 2015 general election.
TN Ramnauth and Company, Kall Co Limited (Kallco), and Mootilal Ramhit and Sons Contracting initiated litigation against the State-owned special purpose company for the almost $200 million balance owed on their respective contracts.
EMBD countersued the contractors claiming that they, as well as contractors Fides and Namalco, conspired together with Moonilal, former EMBD CEO Gary Parmassar, divisional manager Madhoo Balroop and engineer Andrew Walker to corruptly obtain the contracts. It also claimed that the parties agreed to facilitate the contractors receiving preliminary payments for the work, which was allegedly overpriced and substandard and utilised a loan meant to pay for other legitimate contracts to make the interim payments.
Through the lawsuit, EMBD is seeking $275 million plus interest and a series of declarations against the parties, including one on the illegality of the contracts.
Earlier this year, EMBD amended its case to claim that Moonilal served as a “shadow director” of the company, as its former officials reported to and took instructions from him. It claimed Moonilal breached his fiduciary duties and those under the Integrity in Public Life Act.
EMBD’s main new allegation was in relation to payments allegedly made by the contractors to third parties, who it claimed were connected to Moonilal and the United National Congress (UNC).
At the time of the amendment, then-Opposition leader, now newly elected Prime Minister Kamla Persad-Bissessar, described the case as a “political witch-hunt.”
Persad-Bissessar suggested that the latest allegations were “fabricated” and did not debar Moonilal from being screened for the April 28th General Election.
While the EMBD fell under the Ministry of Housing during Moonilal’s previous tenure, it was recently transferred to the Ministry of Agriculture, Land, and Fisheries, based on a notice published in the T&T Gazette late last month.
Guardian Media attempted to contact Agriculture Minister Ravi Ratiram and Legal Affairs Minister Saddam Hosein, who also serves as Minister in the Ministry of Agriculture, Land, and Fisheries, for comment on the expected appointments to EMBD’s board. Both did not respond to messages sent to their cell phones via Whatsapp.