SARA owes Trinidad and UK consultants millions
Feb 24, 2019 , By Abena Rockcliffe-Campbell, Kaieteur News, https://www.kaieteurnewsonline...funds-needed-to-pay/
The State Assets Recovery Agency (SARA) may be taken to court even before it can file its first case.
This newspaper understands that SARA owes in excess of $13M to two investigators.
Sources at SARA say that just over US$55,600 is owed to CIFA Consultancy, a subsidiary of the Caribbean Institute of Forensic Accounting (CIFA); and over US$5000 is owed to SARA’s legal advisor as well as consultant, Brian Horne. Horne drafted the SARA Bill.
This newspaper has seen a letter sent by Director of CIFA Consultancy Director, Maurissa Jemmott, to SARA Director, Professor Clive Thomas, on January 8, last.
Director, Professor Clive Thomas
It stated, “Reference is made to the signed contract dated 7th March, 2018, between the State Assets Recovery Agency (SARA) and CIFA Consultancy, a subsidiary of the Caribbean Institute of Forensic Accounting (CIFA) re: the payment of outstanding Professional Fees and Cost in the sum of US$55,600.00, with US$10,600.00 being for reimbursable expenses.”
Further, the letter read, “As stated in section 2 of the signed contact: The Schedule of Services: CIFA agrees to outsource Mr. Stephon Grey as an Advisor on Asset Tracing & Recovery Investigations to the State Asset Recovery Agency (SARA) of Guyana.”
In the letter, the Director listed Grey’s contractual functions and said, “To date, Mr. Grey and his team have successfully provided all the services stipulated in the contract which has led to the producing of five forensic investigative phase 1 reports, in addition to two preliminary asset identification reports. This asset identification process involved intelligence gathering in the United States and provided successful leads into the target’s assets.”
CIFA Consultancy wrote that it has since submitted three invoices for payment totaling US$55,600.00; US$5,000.00 – Out of Pocket expense reimbursement, US$5,600.00 – Asset Identification expense reimbursement and US$45,000.00 – Professional Fees.
The letter stated, “These invoices were dated and submitted on 20th July 2018, with the 90-day credit facility extended. This amount was due to be paid on or before 18th October 2018. Please note that this payment is now 72 days over the 90-day credit facility that CIFA has extended to SARA. We would appreciate that SARA expedites this matter and has this payment settled within the next 14 working days.”
That letter was written on January, 8; by January 14, Aubrey Heath-Retemyer responded by way of email. He acknowledged the matter, said that he is embarrassed about it and committed to ensuring that SARA honours its responsibility. He assured that the sum would have been made available “soon”.
But nothing materialised. The two-week timeline has long elapsed.
Sources at SARA say that the entity simply does not have the money needed. However, its Budget for wages and salaries is well over $200M.
This newspaper understands that full-time office staff of SARA endured delayed payments in the past.
Further, persons complained that they have been shortchanged against the agreements organically made.
Deputy Director, Heath-Retemyer
But a few who spoke to this newspaper were keen to point out the salary of Professor Thomas, which exceeds $1M per month, while Heath-Retemyer “who is in the office more” gets $780,000 per month with allowances.
Just last year, Health-Retemyer refuted media claims that he and Professor Thomas collected millions of dollars per month.
He explained that the figures quoted in the news article are reflective of the emoluments when gratuity, vacation and other allowances are included and not the monthly salary as the article falsely claims.
The salaries of the SARA officials came to light after former Attorney General, Anil Nandlall, raised questions over a $285M allocation under line item 6321, ‘subsidies and contributions to local organisations’ for the Ministry of Legal Affairs.
The article quoted Attorney General Basil Williams explaining that $225 million would be spent on wages and salaries for SARA employees in just one year.
Just a few weeks ago, SARA faced criticism for being in apparent breach of the law which says that it must have tabled, in the National Assembly, its annual plan and Code of Practice.
In its comprehensive review of Budget 2019, Ram and McRae Chartered Accountants Firm pointed out that SARA is budgeted to receive $285M, an increase of $25M or 9.6%, from the $260M it received in 2018.
Considering the substantial funds it is about to receive, Ram and McRae believes that the Agency should at least adhere to its reporting requirements.
“Like many other public bodies, SARA appears to have breached the law in respect of the duty to have its annual plan tabled in the National Assembly and the prerequisite steps to lay a Code of Practice and to have its report filed in the National Assembly.”
The firm is of the view that the Agency has clearly failed to live up to the hype and fanfare, which accompanied its establishment when it was expected to recover several billions of dollars of state assets each year.
