Hicken should proceed on leave to allow for an independent investigation

Jul 30, 2024 Letters

---

Dear Editor,

I would like to respond to Mr. Joel Bhagwandin’s letter in the Stabroek News, ‘Georgetown Chamber of Commerce and Industry’s statement into allegations of police corruption might have been premature’ published in the Stabroek News on July 25, 2024. It was refreshing to see the statement from the Georgetown Chamber of Commerce and Industry (GCCI) calling for an independent probe into corruption in the Police Force.

However, it was interesting to read the letter published in the same newspaper on July 26, 2024, and titled ‘Region Three Private Sector Inc. supports the GPF and SOCU to investigate allegations of corruption in the Police Force’. As I read the three publications; GCCI’s, Region Three Private Sector Inc., and Mr. Bhagwandin’s letter, I pondered on one question. What is the principle here or is there a principle here? Our Guyanese politics has become so polarized that even our Private Sector too often, put their politics over business, investment, and financial principles.

Mr. Bhagwandin indicated in reference to the CFATF/FATF country review and report on Guyana ‘there remains some key areas of improvement that were flagged by the CFATF/FATF country review, mainly, in the area of bolstering the institutional capacity of local investigative and enforcement institutions, namely SOCU, which is the arm of the GPF established to investigate financial crimes, money laundering, and other matters relating to corruption’.

He further indicated ‘I am unsure whether the GCCI considered the referenced reports, and the implications therein for the country. The country’s failure to improve in this regard, could have more damaging implications for the private sector in the longer term, in particular, as it exposes the domestic financial system to undue risks in terms of losing correspondent banking relationships.’ Mr. Bhagwandin further went on to state the ‘we ought to be very careful such that we do not want to unnecessarily undermine our domestic institutions.’ Does Mr. Bhagwandin consider the GCCI finally finding its voice and taking a principled position on corruption in the Guyana Police Force, unnecessarily undermining our domestic institutions? Our domestic institutions are already undermined. Sanctions were imposed on a leading business entity in Guyana and a senior government official for alleged money laundering and transnational crime. Now, these accusations are levelled against senior police officers, as senior as the acting Police Commissioner. How can the police force conduct this investigation, particularly with the acting Police Commissioner still on the job? If these sanctions are not a wake-up call to the private sector, then what will! Guyana’s failure to substantially reduce corruption and strengthen its institutions such as SOCU, and by extension, the Guyana Police Force is having and will have ripple effects not only in relation to losing correspondent banking relationships, but also in a number of other areas.

As a new oil-producing country, Guyana is now positioned on the global stage as a significant player in geopolitics, foreign investments, governance, and leadership, etc.

However, while the opportunities are enormous for investors in Guyana, over the years, since around 2021, we have seen a hesitancy by investors from the West, in really embracing investment and business opportunities in the country. One of the main reasons for this hesitancy, is that corruption in Guyana is high. In the United States, there is the ‘The Foreign Corrupt Practices Act of 1977 (FCPA), which states that it is unlawful for certain classes of persons and entities to make payments to foreign government officials to assist in obtaining or retaining business. The United Kingdom has the UK Bribery Act 2010 which is the primary anti-corruption law in the UK. The UK Bribery Act covers UK citizens, residents and organizations that originate from the U.K. or conduct business in the country. This Act also gives the UK government extraterritorial jurisdiction, meaning that it allows for the pursuit of offenses committed abroad by persons
with a “close connection” to the UK. The Organisation of Eastern Cooperation Development (OECD) Convention on Combating Bribery includes 35 OECD countries and six non-OECD countries, and the EU also has anti-corruption legislations also.

As such, companies from the United States, United Kingdom, European Union, in addition to multinational companies are extremely careful when doing business outside of their home countries and are very concerned about laws relating to corruption and sanctions. With business operatives and a senior government official being sanctioned in Guyana, allegations against senior officers in the Guyana Police
Force, and the level of corruption in the Guyanese society, while the opportunities in this new oil economy are enormous and attractive to foreign investors, they will be and are being very cautious.

I am pleased that the GCCI is raising its voice since its members are partners and potential partners for foreign investors in joint ventures, other business, and investment arrangements and ‘Due Diligence’ in assessing risks of doing business in Guyana and for global compliance is critical.

There are serious red flags under anti-corruption and anti-bribery laws for foreign companies conducting ‘Due Diligence’ on Guyana. The Guyana Police Force is a key law enforcement agency and with the allegations levelled against senior officers, raise serious red flags for doing business in Guyana. The penalties in the US Foreign Corrupt Practices Act are significant and range from criminal prosecution of companies and individuals; jail for individuals; voluntary disclosures; monitors for companies; among others.

Settlement and penalties for violation of the US FCPA are significant. Over the years, companies paid huge sums in settlements and penalties; these range from USD 2.09 billion, USD 1.78 billion (2018), USD 1.06 billion (2019), USD 965 million (2017), USD 850 million (2019), USD 800 million (2008), USD 795 million (2016), USD 772 million (2014), USD 585 (2018) and USD 579 million (2009).

Guyana and Guyanese have a tremendous opportunity for growth and development and more specifically, transforming the business, investment, and financial environment in the country. As a people, including the government and private sector, we have to asked ourselves, do we want to just make money or do we want to create and nurture a business and investment environment that positions Guyana as one of the best places in the world to do business and invest, both for locals and foreigners.

Finally, the acting Police Commissioner should proceed on leave with immediate effect to allow for the investigation into these allegations and an external organization should be engaged to conduct the investigation. This will send a message that as a country we are serious about addressing corruption and transforming the current culture. The GCCI was in order to call for an independent investigation, many members of the GCCI are also foreign citizens or have residency and they should also take note.

Kind regards,

Citizen – Audreyanna Thomas

---

• Citizen - Audreyanna Thomas, commerce, Independent, investigation

---