AH &L Kissoon sues AG over Clico levy intervention

The legal row over levy proceedings at Clico (Guyana) which involved the removal and subsequent return of four company vehicles deepened last week when AH & L Kissoon sued the Attorney General over his interference in the case.

The company filed a $10 million lawsuit in the High Court claiming that Attorney General Charles Ramson had unlawfully intervened in the case and that he is guilty of unlawful conduct in public office.

The company is also seeking damages for what it called the oppressive, arbitrary and unconstitutional action of the AG in the matter.

The action includes claims for a declaration that the AG, with intention to injure the company or recklessly not caring whether the company would suffer injury is guilty of misfeasance in public office by menacingly demanding that the acting Registrar of the Supreme Court on August 14, 2009, release without an order of a judge of the High Court, the motor vehicles which were levied on under a writ of execution dated December 4, 2008 following a judgment from the High Court by Justice William Ramlal.

Senior Counsel Rex McKay filed the suit on behalf of the company which is seeking to recover some $56 million in insurance money from Clico. The levying on the vehicles followed an agreement by the High Court to an application to levy on the vehicles in September 2008, months before Clico was placed under judicial management in February. AH & L Kissoon moved against Clico and several other insurance companies following their delay in honouring insurance claims when the Park Hotel on Main Street went up in flames in 2001.

On September 11, 2008, Justice Ramlal issued the order, after the lawyers for all the companies consented, ordering that some $146.1 million be paid to AH & L Kissoon together with interest of 6% per annum from June 4, 2001 to the date of the order. The Clico portion without interest was $56.9 million.

Last month the company levied on Clico and the four vehicles were seized, but the AG intervened and the vehicles were returned. Ramson had instructed the acting Registrar to return the vehicles saying all the assets of the company are subject to judicial management. He later accused the acting Registrar of acting unlawfully in the case.