More controversy surrounds Amaila Hydro Project…Nigel Hughes resigns as AFC chairman

By Abena Rockcliffe, August 7, 2013, By KNews, Filed Under News, Source

Prominent Attorney-at-Law, Nigel Hughes yesterday tendered his resignation as Chairman of the Alliance For Change (AFC). His resignation comes on the heels of an article published in this newspaper’s August 6 edition titled “Nigel Hughes is Company Secretary for Amaila Falls Hydro Inc.”  However, Kaieteur News understands that the AFC has rejected his resignation.

Whether Hughes is still up to surrender the position he gained, just last year, is yet to be confirmed.

Nigel Hughes

Kaieteur News’s publication of the article marked the first instance where Hughes’s involvement with Amaila Falls Hydro Inc— the Special Purpose Vehicle/Company created for the development, construction and operation of the US$858M Hydro Power plan—was made public.

However in a press release yesterday, Hughes stated that his position as Secretary to the Company has been a matter of “public record since the incorporation of the company in April 2009.”

According to official documents seen by this newspaper, Hughes was appointed as the Company Secretary on April 23, 2009, the very day the company was first incorporated in Guyana.

“I welcome and support the publication of this fact as I do any other matter pertinent to the issues surrounding the Amaila Falls debate,” Hughes said

He added that “When the issue of Amaila Falls Hydro project became a matter of public interest I immediately disclosed my interest to the Leadership of the Alliance for Change (AFC). I also asked to be recused from participating in their deliberations on the matter.”

However, AFC leader, Khemraj Ramjattan, yesterday confirmed with Kaieteur News that though he was aware of Hughes’s “association” with the company, he hadn’t a clue that that association was in the capacity of him being the Company Secretary.

Hughes claimed yesterday that this newspaper’s publication of the information at such a time “could only have been for the purpose of explicitly or implied suggesting that I have been advancing the cause of my clients in the deliberations by the AFC on the Amaila issue.”

“I completely without reservation reject this contention. I have at all times acted professionally and disclosed to the party my relationship with the client as the client has been aware of my position in the party. As a result of this clear attempt to tarnish the name of the AFC and it’s publicly stated positions on the Amaila Falls Hydro project, I have today offered my resignation as Chairman to the Alliance for Change.”

Further, during an interview with Kaieteur News, Hughes said that he will always be available to the poor and powerless despite his resignation from the AFC’s Executive. Asked if his resignation marks the end of his political career, Hughes responded saying he wasn’t sure. He told this publication that he didn’t venture into politics for power, but solely to help the ordinary Guyanese and make a change.

Khemraj Ramjattan

He said that his entry to politics came at a time when the Werk-en-Rust community—where his office is situated—was being “savagely” attacked by government. Hughes added “for me it was always about the people, I used to help the poor and powerless before my involvement and I will continue to help them after.”

The lawyer reiterated that his resignation is to avoid “unnecessary scandals.”

Hughes declared that he didn’t keep his position a secret. He said that he merely thought that over the few years when “this matter” became public interest, his position of Secretary would have been brought up.

In a statement issued several hours later, the AFC noted that the party “continues to repose full and complete confidence in him both as member and Chairman” and didn’t accept his resignation.

“Mr. Hughes was not a member of the AFC in April 2009 when he commenced professional engagement with Amaila Falls Hydro Inc/Sithe Global; Mr. Hughes officially joined the Party in July 2011” and “Mr. Hughes was elected Chairman of the Party on August 4th 2012. Therefore the matters of professional engagement with AFHI predated, by some time, Mr. Hughes’ membership to the Party and further his election to the office of Chairman.”

Further “facts” presented by the party were: “Mr. Hughes declared his professional association with Sithe Global at the commencement of the Amaila Falls Hydro Power Project coming into national focus and requested of the Party that he be recused from the decision making process at every stage. The Party agreed and Mr. Hughes has been so recused; The AFC remains steadfastly supportive of hydro power projects (or any other alternative energy source options) with the express condition being that the benefits redound to the Guyanese people and the country.

It was also stated that “The Party’s previously stated position with regard to the due diligence from the IDB (awaiting their report) and the level of debt ceiling proposed by the motion (with regard to its sustainability) remains the same. The Party is favourably considering its support for the Hydro Amendments (the Environmental Bill) if re-tabled.”

The statement said too that the AFC “views as unfortunate, but is not surprised by efforts designed to malign its image, particularly at such a sensitive time.” And that “Mr. Hughes’s willingness to act in the public interest and to the detriment of his own political career speaks to his character and his offer of resignation, in the eyes of the Party and indeed of all Guyanese only enhances his stature and reputation as a leader of high principle and morality.”

Meanwhile, Executive Member of the AFC, Catherine Hughes, the wife of Nigel Hughes, remains Sithe Global’s Public Relations Consultant. As recent as Monday, she issued a press statement in which she was identified as the Public Relations Consultant for Sithe Global, locally.

Sithe Global is the developer/investor in the Amaila Falls project. The company is looking for parliamentary consensus to move on with the project.  Catherine Hughes is a serving member of Parliament, and of course has a vote in today’s proceedings that will determine the fate of the Amaila Project.