Guyana Security Council’s CEO, Legal Officer called upon to resign
May 18, 2014, By KNews, Filed Under News, Source
The Shareholders of Guyana Stockfeeds Inc. (GSI) is demanding changes in the management of the Guyana Security Council and the immediate resignation of its Chief Executive Officer, Cheryl Ibbot and its Legal Officer, Shawn Allicock.
Robert Badal
The call was made at the Annual General Meeting of the Company held on Friday last. The shareholders of the company condemned the “Public Advisory” of the Council in the national media on non-payment of dividends as unnecessary, mischievous and intended to put the Company and its Officers in disrepute.
While the Council indicated that it was motivated by complaints from members of the company, shareholders maintained that it is not the mandate of the Council to be issuing such an”Advisory.”
It maintained that such matters are the domain of the Company.
In addition, they contended that the Directors had already briefed shareholders in full on the matter.
This fact and the circumstances surrounding the non-payment of dividends; namely an ex-parte injunction secured by the National Industrial and Commercial Investment Limited (NICIL) were all public information.
According to the Company, “it was interesting to note that no shareholder recalled making such a complaint or even contacting the Council.”
The shareholders further vigorously condemned the actions of the Council in moving to the High Court to compel the Company’s Directors to re-publish a corrected interim report of 2014 as unnecessary, abuse of public office, and waste of taxpayer resources and the Courts time.
They contended that even if its interim report of 2014 was incorrect, which is not conceded, Shareholders at its AGM have approved its audited accounts and report of Directors for the full 2014.
Such acts of the Council among other matters revealed in recent media reports reflects poorly on the judgment and objectivity of its CEO and Legal Officer which would undermine confidence in the Council among Public Companies and the general investing public.
Recently the makers of animal feed, Guyana Stockfeeds Inc. have blasted the Guyana Securities Council (GSC) on what the company says is a delay to retract an erroneous advisory which placed that company in a bad light over the payment of dividends.
GSI, in a strong statement from its main principal, Robert Badal, said that it believes that the delay does not rule out conclusions that the regulator is unfairly targeting the company.
According to Badal, the Guyana Securities Council issued a “Public Advisory” in the national media which stated that his company had published its Interim Report for the period January – June 2013 showing that GSI had paid dividends totaling $80,285,557 for the 2012 Financial Year.
The regulator claimed that it had been notified by several shareholders that they did not receive any dividend payments for that period.
The Council also claimed in the notification that it contacted the feed company, which is headquartered at Farm, East Bank Demerara, and was advised that no dividends were paid for 2012.
According to Badal, his company had written the regulator on January 20, last, insisting that although it had approved dividends for 2012, it was not actually paid to shareholders.
As a matter of fact, one “disgruntled” shareholder, the Government-owned National Industrial Commercial Investments Limited (NICIL) had approached the courts for an injunction to restrain payment of the dividend.
“This injunction was discharged for material non-disclosure on the part of NICIL.
Meanwhile, out of respect for the court, GSI has not actually disbursed the approved dividend payments to shareholders.”
The businessman said that GSI sought professional advice on the GSC’s request for a correction of its Interim Report and was told nothing was wrong.
The feed company, which is part of the group that also owns controlling interest in the Pegasus Hotel, called for the retraction, especially in light of the “potential harm it posed to GSI’s business”.