Saturday, March 2, 2024
HomeOpinionLettersWhat is wrong about the PAJOAH letter

What is wrong about the PAJOAH letter

New revelations June 10, 2021, on the Talk Show “Can I Help You” as reported towards PAJOHS Limited, via letter January 24, 2019, and a Trinidadian Bank dated February 18, 2020, further exposes the need for domestic, regional and international investigations into the financial operations of the government of Saint Lucia.

These activities point to the consistent definition of building a new Saint Lucia on corruption and nepotism. Indubitably, the government of Saint Lucia cannot continue the “denial of plausibility” of the “PAJOAH Letter” to which, a new government following general elections must address, from the standpoint of “ financial impropriety, corruption, conflict of interest, and maladministration.”

Reference: Building a new St Lucia on ‘corruption and nepotism’

Dear Sir

  1. Under the Finance Administration Act, the only person who is authorized to give a government guarantee for a loan is the minister of finance.
  1. The minister of finance must obtain parliamentary approval before he/ she can provide any loan guarantee.
  1. Guy Joseph is not the minister of finance, therefore he is not authorized to provide a government guarantee for any loan.
  1. The guarantee which was provided to the PAJOAH Company lacked the necessary parliamentary approval.
  1. Any money which is disbursed to the PAJOAH Company becomes a contingent liability of the Government. This means that if PAJOAH defaults on the debt, it is the responsibility the government to repay the loan.
  1. The USD $62 million or ECD $167.4 million has to be added to our official debt statistics under the section for Contingent Liabilities.
  1. This illegal act will lead to a rise in the Debt to GDP Ratio.
  1. How likely is it that a company with capital of $1,000 will be in a position to repay the loan? This suggests that the probability of default is extremely high.

Carlton Augustine



Please enter your comment!
Please enter your name here


Caribbean News

Northern Brazil is important growth pole to Guyana’s prosperity, says vice president Jagdeo

GEORGETOWN, Guyana (DPI) - Guyana, one of the fastest-growing economies in the world, is looking to Northern Brazil as a vital growth pole for...

Global News

UNCTAD to mark 60th anniversary with Global Leaders Forum

The Forum, “Charting a new development course in a changing world”, will unite leaders from across countries and industries to catalyze a new...