The Government on October 15th sued Cari-com General Insurance Company for almost $15M in relation to a performance bond and an advance payment guarantee.
A statement from the Attorney General’s Cham-bers yesterday said that the bond and guarantee had been put up by Caricom General Insurance at the request of Deokie Construction Services in favour of the Guyana Government in pursuance of the contract with the government for the construction of part of the synthetic track and field facility at Leonora. The government terminated the contract with Deokie Construction in August 11 leading to the demand for payment of the bond and guarantee. The statement said that Caricom General Insurance has refused to effect payment.
The statement said that Attorney General Anil Nandlall filed the lawsuit on government’s behalf and the matter has been fixed for hearing on December 3.
In a press release yesterday Nandlall said that the contract with Deokie Construction pertained to Phase 3 – Lot 1- Construction of Club House/Pavilion, Leonora, Region No.3.
According to the release on the 15th and 28th of January, 2014, Caricom General Insurance Com-pany Inc., executed the Performance Bond/Gua-rantee and an Advance Payment Guarantee in favour of the Government. The purpose of the Performance Bond it was explained, was to guarantee satisfactory completion of the project by the Contractor, failing which,
