The Shipping Association of Guyana is studying legal action against the George-town Mayor and City Council (M&CC) after City Hall officers barred container trucks from leaving wharves over a “road assessment”.
The shippers see the dispute over a $25,000 container fee as the reason behind the city’s actions.
Container trucks were prevented from leaving the Muneshwers and John Fernandes wharves on Water Street after the M&CC placed barricades at the entrances and sought the payment of the recently implemented fee.
The barricades were removed late yesterday afternoon.
Last night, attorney Christopher Ram told Stabroek News that he and attorney Sase Gunraj would be seeking an injunctive remedy from the court on behalf of the Shipping Association.
Ram said the legal action would be taken because of the city’s violation of the law and the serious implications for businesses.
The M&CC, in a statement issued last evening, did not address the application of the fee but said that it conducted a “road assessment exercise” that saw the closure of the Industrial Site road and the Water Street to heavy duty vehicles.
No prior notice of the road closures was given.
“The Industrial Site road is of particular concern to the council since it is almost impassable. One of the municipal daycares is located in that area and the deteriorated road is of great concern to persons who live there. The daycare is convenient to persons who work and live at Industrial Site,” it said.
“Sections of Water Street have also deteriorated to the point where vehicles are using single lanes because of poor conditions. The council sees this as an unnecessary threat to citizens and is eager to correct this issue,” it added.
Road management, the statement said, is the responsibility of the M&CC under the Municipal and District Council Act. It added that as part of council’s impending budget review, it found it prudent to make the necessary road assessment for provision of road works.
Under the law, the council does have the power to close roads to specified types of vehicles.
The M&CC statement advised that operators of heavy duty single axle vehicles, 16-wheelers and other such large vehicles that the identified roads are not accessible to them. However cars, vans and smaller vehicles are permitted.
Town Clerk Royston King yesterday said, “…We are not blocking (the roads) but protecting our roadways.” He went on to explain that it is unfair for businesses to occupy spaces on the road and not pay.
However, Robin Muneshwer, a manager of Muneshwers Limited, said that between 2.30 pm and 3 pm yesterday he observed city constables erecting barricades. According to Muneshwer, nobody from the city administration sent the company any notice. He also said that when the constables were erecting the barricades, they were not given any explanation.
He added that it was later explained to him by Deputy Town Clerk Sherry Jerrick that the actions are as a result of damage to the road. Muneshwer said when he enquired why no notice was given, Jerrick could not give an answer.
The application of the container fee appeared to be put in doubt last week after the city withdrew an action filed against a company for payment because it was bad in law. Gunraj, who represented the company, Crown Mining, had also advised the Private Sector Commission that the application of the fee was “arbitrary and unlawful” and could not form the basis of any successful prosecution.
Crown Mining and other city businesses were summoned to court after they were served with letters from City Council, which has sought to apply fees on shipping containers on the city’s streets.
Gunraj argued that the city has filed a charge that is bad in law, while noting that the section upon which they are relying to impose the fee does not allow for such.
City Magistrate Annette Singh upheld the argument and ordered that the case be withdrawn.
Currently, the city is engaging its lawyers and seeking legal advice on the way forward on the container fee.
