US$500M GRDB probe... GBTI Directors, CEO slapped with contempt charges

US$500M GRDB probe… GBTI Directors, CEO slapped with contempt charges

Oct 24, 2017 News

– ready to hand over some documents

From left Suresh Beharry, Carlton James, Shaleeza Shaw, Robin Stoby and Basil Mahadeo

Seven high ranking officials of Guyana Bank for Trade and Industry (GBTI) yesterday made appearances in an all-important case involving anti-money laundering.
They were arraigned before Chief Magistrate Ann McLennan in the Georgetown Magistrates’ Courts and were all released on their own recognizance (self bail) after pleading not guilty to a charge of failing to comply with a production order.
The eighth person charged for the offence, Kathryn Eytle-McLean, is currently out of the jurisdiction.
The court proceeding, which started a little after 09:00 hrs, saw Chairman, Robin Stoby; and directors, Edward A. Beharry, Suresh Beharry, Richard Isava, Carlton James and Basil Mahadeo, along with Chief Executive Officer (ag) Shaleeza Shaw, making appearances. They were represented by a battery of top lawyers.
They all denied the charge which alleged that on September 7 at Georgetown, they failed to comply with production order granted by Chief Justice (ag) Roxanne George Wiltshire, for them to produce certain documents to the head of the Special Organised Crime Unit (SOCU), Sydney James. The order was made on August 29.
They were all represented by Attorney-at-law Nigel Hughes in association with others.
The lawyer told the court that the order of the Chief Justice was brought to the attention of the head of SOCU last Friday in the presence of his clients. According to Hughes, they were granted an extension by Justice George-Wiltshire—until
November 3—to hand over the documents to SOCU. The lawyer said that the defendants have all intentions of complying with the Chief Justice’s order.
The lawyer added that subsequent to the refusal, his clients attempted to hand over documents on Saturday, but ranks at SOCU refused to collect it on the grounds that the documents have to be given to James.
Hughes further related that the court order by the Chief Justice was directed to the bank and not necessarily to his clients.
SOCU Prosecutor, Patrice Henry said that the defendants’ attorney attempted to hand over some of the documents that were ordered by the Chief Justice, but the order specified that the documents be served on Assistant Commissioner Sydney James, and he was not in his office at the time. He had no objections to bail being granted, but asked that it be in a reasonable amount.
The defendants were instructed to make their next court appearance on November 20.
Last month, SOCU, which is tracking down US$500M that the Guyana Rice Development Board (GRDB) handled as far back as 2010, submitted files to the DPP recommending contempt charges against GBTI’s eight directors. This was after the bank and SOCU were locked in a battle over information concerning the GRDB accounts, since February.
SOCU is contending that the bank failed or stalled and gave all kinds of excuses, and even destroyed pertinent records relating to GRDB.
SOCU reportedly argued that other banks complied, but it was finding it hard going with GBTI.
SOCU received four court orders, including one from the High Court, asking that GBTI hand over the information.
In late August, the acting Chief Justice granted production orders to SOCU, giving the bank a week to hand over certain information. That deadline expired in early September, and the bank was reportedly granted some extra time. However, the deadline elapsed and SOCU prepared files recommending the charges of contempt against the directors.
Under tough anti-money laundering laws, once court orders are granted, financial institutions are reportedly bound to provide information. In this case, the monies are not from private accounts, but rather from the US dollar and other accounts of GRDB, a state entity.

Discover more from Kaieteur News

Subscribe to get the latest posts sent to your email.

Latest News