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New GPC fails to prove news items cost it overseas markets

JUNE 18, 2014 | BY  | FILED UNDER NEWS 

 

- unable to explain “Sole Sourcing”

Days after being ordered by a New York court to answer several questions, the New Guyana Pharmaceutical

Dr. Ranjisinghi ‘Bobby’ Ramroop

Dr. Ranjisinghi
‘Bobby’ Ramroop

Corporation (New GPC) has responded, but declined to reply to quite a number of them.
Significantly, the company was unable to back up claims that it lost customers overseas because of Kaieteur News and its publications about New GPC drug sales to Government by that company.
New GPC in August 2012 took the Kaieteur News’ New York edition to court alleging defamation and suing for US$1M, following reports of Government’s drug purchases from New GPC. The reports alleged price gouging.
New GPC has been a preferred supplier to both the Ministry of Health and to the Georgetown Public Hospital Corporation for years now, for contracts worth billions of dollars.
The New York court action was followed by a similar one in Guyana against Kaieteur News.
Kaieteur News, as part of its defence in the US case, deposed the New GPC.
On May 16, Judge Joan Kenney denied a petition by New GPC’s lawyer, Ray Beckerman, to present the answers confidentially.
New GPC, owned by Dr Ranjisinghi ‘Bobby’ Ramroop, a close friend of former President Bharrat Jagdeo, was also ordered by the Judge to present the documents requested within 20 days.
New GPC was asked to, among other things, prove that as a result of the Kaieteur News publications, sales to overseas clients plummeted.
“Sales in several international markets recorded a drop in sales in 2012. Anecdotal reports both locally and in some territories indicated reduction of sales of New GPC’s products as a result of the Kaieteur News negative publicity,” the lawyer, Sam Beckerman, submitted by way of deposition.
However, New GPC was unable to provide any customer it may have lost because of the publications.
“Plaintiff (New GPC) is not aware of any customer it has lost due to the defendant’s articles. In the event any such information is discovered, it will be produced.”
Questioned about its claims that the articles may have “seriously injured and prejudiced” efforts to attract new customers, New GPC said that “after a diligent search, plaintiff has found no records of any such potential new customers, and has been able to find no information responsive” to the questions.
“If information is discovered, it will be produced as soon as it is discovered.”
New GPC, by way of the answers provided by Beckerman, said that it was still computing the drop in sales in the international markets as recorded in 2012 and these figures will be “furnished at the appropriate time.”
It did offer this answer, though…” Several international markets recorded a drop in sales in 2012. Anecdotal reports both locally and in some territories indicated reduction of sales of New GPC’s products as a result of the Kaieteur News negative publicity.”
Significantly also, New GPC, which is facing flak in the National Assembly for its seemingly cozy relationship with the administration over the drug purchases, was unable to answer questions about what it understood by “Sole Sourcing”.
New GPC was specifically asked to define “Sole Sourcing” and what it means with respect to doing business with the government of Guyana. The answer was simply…”Unknown”
Asked about the number of employees New GPC had in 2012, the company objected on the grounds that the question was seeking “material” which is not sufficiently related to the “issues in litigation to make the effort to obtain it in preparation for trial reasonable”.
New GPC also declined, on the same grounds, to answer whether it had a Public Relations Department or Public Relations representative in 2012.

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