H@rd Truths by GHK Lall - GOLD BOARD – FACTS AND STANDING TRUTHS

H@rd Truths by GHK Lall – GOLD BOARD – FACTS AND STANDING TRUTHS

Sep 10, 2023 Features / Columnists, News, The GHK Lall Column

Kaieteur News – I refer to the letter captioned “A glimpse into gold board operations between 2010-2019” (SN September 07). On each occasion that the PPP tries to stick something on me, it falls flat or backfires. This is another of those instances, in which I recognize different subtle and brazen pens in attempts at even more slick, underhanded work to point in my direction. There is gratitude to the PPP Government, with special thanks to Vice President Jagdeo for the opportunity to share publicly some of the inner workings of the Guyana Gold Board (GGB) during a most turbulent time, and in so doing, let the record speak for itself.

GHK Lall

First, the contexts encountered. There was the huge Rasool shadow hanging over the GGB (anti-money laundering failures); the related Royal Canadian Mint (RCM) stoppage, then stringencies; the major (I mean major) contributions of gold to the national economy; the industrial sabotage at the GGB plant operations in the compound of the GGMC; the emergency movement of GGB ops to a new location; the state of the GGB on my arrival; and the state of the environment are essential needs for equipment, processes, and services in a time sensitive environment.

Second, the writers spoke of Natural Resources staff being paid by the GGB. It is correct, and it was inherited.

Then, the expenses of the board increased substantially, which is also correct, and also was inherited. Both of these items were repeatedly discussed at the board level, and because they had originated from the ministry, both were escalated repeatedly to the Permanent Secretary and ministerial levels. For whatever it is worth, it came to my understanding that one director was serving in an expert capacity to the minister and others, which accounted for almost all of this increase. Also, my monthly director stipend of GY$42,000 was always donated to a number of demanding situations including education, funeral expenses, and the Roman Catholic Church, among others.

Third, employment costs did increase heavily, but I refer to the aforementioned contexts in the preceding paragraph. Part of the negotiations and arrangements finalized between the GGB and the RCM included compliance and audit staffing, so as to be better equipped to oversee the operations. For emphasis, there was no compliance to speak of, and the resident auditor never had a finding in the 10 years he was present. Additionally, the non-existent Human Resources area had to be built from scratch. For those who think that this was too much too quickly, the reality was that gold was the biggest foreign exchange earner, and it was operating within state parameters: enhanced risks programmes and processes, enhanced compliance procedures and implementation, among others. The RCM visited twice, if not thrice, during my tenure. The policing was that rigorous. There was never any further talk, not even a hint, of distancing from GGB business, which had the deep taints that greeted me. In terms of employment costs, it was money well spent, for the GGB remained open and with a better reputation outside of Guyana.

Fourth, I like the trick of the writers under ‘Other expenses’ which spoke of the massive increase in this category from 2014-2019, but had no further details. As to what that means is anyone’s guess, but recall I went to the GGB in Q2, 2017. But it is a classic of PPP operations and operators; they ring bells in public, and then disappear, while leaving others to deal with the echoes.

Fifth, under the category of “Disposal of Non-Current Assets”, nothing was disposed of during my tenure. Nothing. Written down, yes; not disposed. It may apply to the materials (new carpets at the old GGMC location) that had to left behind.

Sixth, all dealers were subject to the most intense scrutiny, to the extent that they protested. There were no procedures in 2017, but these were put in place. All had to sign: dealers, directors, General Manager. As for ‘no objection’ letters from the minister, there was no exception in any year to this standing requirement. There are records to this effect.

Seventh, reference procurement, there were discussions with the Permanent Secretary who was familiar with the urgent needs due to the exigencies under which the GGB operated. Guidance was furnished on how to operate in what was an emergency situation. The GGB made use of the provisions of the Procurement Act 2003, Section 28 (a)(b)(c) and (d), as all applied in the exceptional circumstances lived with, especially as such pertained to the mercury abatement system and the generator and related services.

Eighth, the KNA relationship/contract was finalized after all other architects and consultants said the job could not be done, given space constraints. This included Rodrigues Architects, whose principal is personally known to me. He was the only one.

Ninth, relative to evaluation of bids, from the inception I made clear to the board that I would have no part of any bid evaluations, which the minutes should confirm. Subject to correction, the evaluation committee consisted of the GM of the GGB, a very senior officer of the Health Ministry and a very senior officer from the Ministry of Works. I would think they had very sound reasons to disqualify the bidders that failed to make the mark.

Tenth, the AXIS relationship was driven by a cabinet memorandum. No vehicles were imported to the time I left, which was February 29, 2020.

Eleventh, the Big Boss Transportation arrangement originated in the Natural Resources Ministry.

Now for my summation. I commence with this vital bit of information: all decisions were made in the open and with the involvement of the full board. I knew none of the players (dealers, vendors, contractors or staff) before, save for Mr. Rodrigues. Still, whatever responsibility has to be taken, it starts and stops with me, the non-executive chairman.

I urge the PPP to push forward since it has all this believed ammunition. Clearly, the PPP Government spent a tremendous amount of time and effort to dig up what it believed was dirt on me. It came up short. If there was a genuine need to know the circumstances at the time at the GGB, I am a phone call away.

But that cannot be when payback for my media writings was a clear objective, as openly admitted by one of the compilers of the SN letter. I recognize numerous cut and paste jobs from minutes, selective culling of records, different writers, and grasping at straws throughout the missive. The objectives are clear: smear and silence. It will not succeed.

If I wanted to take the low PPP road, I could speak of the GY$20 billion debt inherited; no anti money laundering supervision, which triggered the Rasool fiasco and sanctions; no compliance monitoring of dealers; no implementation of audit recommendations ad infinitum or I could pursue other actions, which is a favourite tactic of the PPP at was clearly defamation by innuendo. I take the high road, instead. I leave the malice and mischief to those at home with it. What is your next step, brother Bharrat Jagdeo? God bless all!

(The views expressed in this article are those of the author and do not necessarily reflect the opinions and beliefs of this newspaper and its affiliates.)