Little progress…AG’s legal advice sought on East Bank lands to private developers

Jan 17, 2017 News

More than five years after huge swaths of prime housing lands on East Bank Demerara were sold under questionable circumstances by the previous administration to private developers, there is little progress being made.

Minister Ronald Bulkan

The matter is now engaging the attention of the Attorney General Chambers with the possibilities being explored whether the lands- more than 400 acres- can be repossessed.
The disclosures were made Friday by Minister of Communities, Ronald Bulkan, during a press conference on the performance of his ministry last year.
The decision to sell those lands to a number of developers was made in the last days of the Bharrat Jagdeo administration with most of the deals consummated under former President Donald Ramotar.
There was no clear basis what methodology was used to determine the prices per acre-— some developers just paid more than others.
However, the developers largely failed to build, with most of them not even completing the initial infrastructural works for drainage and internal roads.
The deals had caused anger especially with questions swirling particularly in light of the fact that the Central Housing and Planning Authority (CH&PA) had more than 20,000 applications for lands in its database.
Bulkan admitted under questioning on Friday that there is the issue of significant concern to administration and one that spoke of lethargy, sluggishness and malaise from the developers- it is clear that despite the commitments made, nothing much has been done.
He said that the Attorney General Chambers has been asked to explore the possibilities of repossessing the lands, if necessary, if continued engagements with the developers fail to show progress.
“It is an issue of deep concern and it is being addressed by the CH&PA and the administration,” Bulkan said.
In late 2015, months after taking office, the Coalition Government and several top

File photo: One developer along Mocha Road had the land in this manner, although they had received it about two years before.

CH&PA officials had paid a surprise visit to the East Bank Demerara, in the lands between Eccles and Little Diamond.

Little Progress
What they found was shocking. Huge plots of lands sold to private developers were way behind schedule when it came to developmental works.
During the inspection, the then Minister within the Ministry of Communities, Keith Scott, announced that he has summoned senior principals including some from Sunset Lakes Inc. and Courtney Benn Contracting Services Limited to update him.
Along Mocha Road, Courtney Benn has reportedly acquired 50 acres of land behind New Providence. The gates were locked and it appears that not much work was being done. The land was allocated around 2011.
Further north, behind Princess Hotel and Casino, Dax Contracting Services also had a plot of land. Owner, Faisal ‘Dax’ Mohamed, has been selling plots of it. However, only one house had been built.
He said he will be working with his house lot owners to speed up construction.
The Minister, accompanied by his team of engineers and technical staff members, was concerned that lands were being sold without homes being built, which was tantamount to speculation.

Some of the lands, behind the Providence Stadium, that up to late last year was in this state- little activity.

At Sunset Lakes Inc., a 100-acre plot sold by Central Housing and Planning Authority (CH&PA) to businessman, Brian Tiwarie, and located behind the National Stadium, housing officials found a desolate area. The scaffolds on buildings had no signs of activities.
A Chinese official who spoke English and who was in the gated area drove off and returned a short while later with four others. They could not speak English. They were from Baishanlin, a Chinese company that had been under fire for its activities here.
This particular transaction had been testing CH&PA and the new Government as Sunset Lakes was reportedly sold en-bloc to the Chinese-owned logging company, Baishanlin.
Sunset Lakes (Tiwarie) reportedly bought the 100 acres for $458M and reportedly resold it for over $800M to Baishanlin, a logging company.
According to the Sunset Lakes agreement of sale and purchase, the purchaser (Sunset Lakes) must complete all infrastructural works within eight months of taking possession in 2011.
He had also two years to complete the construction of all houses in the proposed housing scheme and to have 100 percent occupancy.
Failure by Sunset Lakes to construct homes within 24 months could see CH&PA fining the developer up to 25 percent of the current market value of the vacant parcel of land.
There have been criticisms how the more-than 400 acres of land stretching from behind Republic Park to Little Diamond ended up mainly in the hands of close friends of the previous administration.

Since 2011
At least 16 private developers benefited from as early as 2011. Still another 11 companies, as of July 2014 were set to receive lands from CH&PA for areas in Little Diamond and Great Diamond.
One company, Luxury Reality Inc., which has lands in Providence, has listed as its Director/Secretary, Roopnarine Ramcharitar, a right hand man for Dr. Ranjisinghi ‘Bobby’ Ramroop. Ramroop is the owner of New GPC, a company that was investigated by the Opposition for a number of questionable deals. He is the best friend of former President Bharrat Jagdeo.
Hi Tech Construction Inc. is another Chinese company involved. Hi Tech has Su Zhi Rong listed as its Director while the Secretaries are Zhang Ling Ling and Ming Chen.
The other companies that were allocated lands between Eccles and Mocha were Queensway Dax Contracting Service, Nabi Construction Incorporated, Buddy’s Housing Development, Cumberland Developers Inc., Vikab Engineering Consultants, Kishan Bacchus Construction, Caricom General Insurance, Navigant Builders and Windsor Gardens.
Queensway has been allowed several acres in Golden Grove.
As of July 2014, those that had applications at CH&PA for lands were Buddy Housing Development, Queensville Housing Development, A&R Jiwanram Printery, Raydan Housing Enterprise, Lakeview Executive Homes, Gentle P. Elias and Brian Chase, Chung’s Global Enterprise, Prembury Consultants T&T Limited and Romell Jagroop Construction.
The Chinese-owned Hi Tech Construction has also applied for lands in the Little Diamond/Great Diamond area.
CH&PA has made it clear that there are no available house lots in Region Four to allocate to persons. Minister within the Ministry of Communities Valarie Adams-Patterson, who has responsibility for housing, noted that the government will be investing in housing units.
The town houses, duplexes and low income accommodations are to address the growing population density while effectively utilising diminishing land space.