Although 10 years have gone since a debt of nearly $15 million would have been incurred by the now dissolved Acme Photo Studio to the Guyana Elections Commission (Gecom), legal action is yet to be taken to recover the money.
This information was related at a Public Accounts Committee (PAC) hearing on Monday by Gecom’s Chief Executive Officer Keith Lowenfield, who stated that legal advice was being sought and that Gecom is presently awaiting feedback from the lawyer.
“Are you satisfied CEO? If you’re going to dilly dally for a whole year… without filing an action then I have serious difficulty…,” PAC Chairman Irfaan Ali stated at the hearing, which was held in the parliamentary chambers at the Public Buildings.
Lowenfield reminded the committee that the entity had been advised by the Attorney General that they were statute barred from pursuing the matter, but noted that he had been told otherwise at his last attendance of the PAC hearing. He said it was on this basis that they moved to engage with a lawyer to have the matter resolved.
“Mister Speaker, I’m just concerned whether we are [flogging] a dead horse. Last year when we spoke about this matter, we said look, the statute of limitations had about a year plus to go, so let us rush and get this thing done quickly. As we stand today, we are 10 years and months, so I am not sure what we’re really doing here. I thought that Gecom would have sought advice first, because this company has been dissolved for some time now and every year we kept flagging this matter. So I would have expected that Gecom would have sought advice. Is it feasible? Is the company still on the books? Are the principal persons still around? Are they still engaged?” PAC member Volda Lawrence questioned.
“Before we come and we hear that you engaged a lawyer. Engaged a lawyer to do what? Based on what advice? So, I think the first thing is for us to know is what can be the outcome of this. Can it be an outcome that benefits Gecom or are we going to employ a lawyer and then we have to pay that lawyer and then we don’t get anything at the end? This matter going on since 2007,” Lawrence stated.
According to the Auditor General’s 2015 report, having been in possession of near-expired stock of 268 cartons of Polaroid film with an estimated market value of $30.485 million, Gecom entered into an agreement on April 30, 2007 to have a local firm utilise and replace the stock at a later date.
On September 13, 2007, however, 94 of those cartons, said to be worth an estimated $10.693 million, were declared spoilt by the other party to the agreement and were returned to Gecom. The remaining 174 cartons, valued at $19.792 million, were still outstanding.
On March 6, 2010, Gecom received $4.924 million worth of the outstanding goods, which left a balance of $14.868 million still outstanding by the other party.
According to the PAC’s briefing notes, Gecom had written to the Finance Secretary on September 1, 2016, requesting a write off.
