There is no word yet on the forensic audit into the Marriott Hotel with two government ministers giving conflicting positions on its completion.
Minister of Business Dominic Gaskin recently told Stabroek News that the forensic audit into the hotel has been completed and the report is to be finalised. However, junior Finance Minister Jaipaul Sharma said that the audit is not yet completed. He said that he was not at liberty to comment on the forensic audit at this time.
Stabroek News asked Gaskin about the monthly operational costs as well as the occupancy rates for the Marriott which was built largely with taxpayers’ dollars. He was also asked if the hotel is able to cover its own expenditures at this point in time without government assistance.
“It should be the hotel itself, the company itself, they should be able to pay their bills. That’s my information, but again I don’t have any official information on Marriott figures, it has only been speculation around,” Gaskin said. He added that while he was the Minister of Business, the Marriott Hotel project does not fall under his portfolio. He, however, noted that reports are that the occupancy rates of the hotel are between 20%-50%.
When Stabroek News reached out to the Office of the Director of Finance of the US$58 million hotel, this newspaper was told that information relating to operating costs would not be publicly shared.
The APNU+AFC government had opposed the controversial hotel prior to being elected to office and has since promised changes to the hotel’s parent company Atlantic Hotel Inc (AHI).
Minister of State Joseph Harmon had announced in July that Winston Brassington would be removed as its Chairman. Subsequently, a new Board of Directors was identified with Beverley Harper slated to be the new chairperson replacing Brassington. Derrick Cummings, Patricia Bacchus, Hughley Nelson and Lawrence London were also named as board members.
Harmon had previously stated that the board would be composed of persons who the public recommends until “such time that the government comes up with a final decision as to how to dispose of this asset.” He had said that government made it clear that it is not interested in running or getting involved in the hotel business and it is not the business of government to be running any hotel.
Days after Harmon’s announcement, Stabroek News was informed that the two Hong Kong businessmen Victor How Chung Chan and Xu Han of ACE Square Investments Ltd had pulled out of their planned US$8 million equity investment into the hotel. That investment would have given them 67% of the equity.
As it stands, AHI currently owns 100 percent of the hotel’s equity, with government’s holding company NICIL investing US$36 million and US$15.25 million being received from Republic Bank Ltd of Trinidad.
The government has not released any information in relation to the status of the potential investors.
Leader of the Opposition Bharrat Jagdeo at a PPP press conference recently advocated for the selling of shares to Guyanese. However, given that it had no private investors, Guyanese taxpayers have already funded the construction of the hotel.
