Observer Editorial: Giving back Trafigura money not enough

[Karl]

<TABLE cellSpacing=0 cellPadding=1 width="100%" border=0><TBODY><TR><TD><SPAN class=TopStory>Giving back Trafigura money not enough</SPAN>
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Monday, October 09, 2006
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<P class=StoryText align=justify>The evolving story of Trafigura's 'gift' to the ruling People's National Party (PNP) has all of us spellbound and more than a little confused as we struggle to determine who to believe.<P class=StoryText align=justify>The PNP's decision to hand back the money to Trafigura does nothing to solve the puzzle. That only conjures up the image of a bank robber who changes his mind, hands back the money and expects everyone to forget it.<P class=StoryText align=justify>If, as Trafigura appeared to be saying in its release to CVM TV, the money provided to the PNP through its CCOC bank account was not a donation but the result of some sort of commercial arrangement, the party has a lot of explaining to do.<P class=StoryText align=justify>For, as we understand it, Trafigura is doing business with the Jamaican government and its agency, the Petroleum Corporation of Jamaica. If it were ever to come out that by some underhand means public funds were somehow diverted to the funding of the ruling party, there would be disastrous consequences for the government of Mrs Portia Simpson Miller and the PNP.<P class=StoryText align=justify>All that aside, everything we have heard so far underlines the urgency of the position taken by this newspaper on Thursday that priority must be given to decision-making on political party funding.
In that context, we reiterate our position that funding for political parties should be regulated and "limits should be placed on party spending and that the parties should be mandated to disclose the sources of their funding".<P class=StoryText align=justify>For while we condemn the Trafigura deal, it would be hypocritical not to recognise that there is something deeply disturbing, if not immoral, about a country as poor as ours spending hundreds of millions of dollars on an election campaign.
Concern that some of that money may actually be rooted in criminal activity, not least the drug trade, is not new. That's one reason we will need full disclosure as we seek to revamp the system of political contributions.<P class=StoryText align=justify>And while we condemn the PNP's acceptance of funding from an international oil trader which has a lucrative contract with the government, we need to also explore the behaviour and motives of our local corporations as they too make their political contributions.
What goes for the goose must also go for the gander, and we can't expect to have our soup and eat it.<P class=StoryText align=justify>Hence this newspaper is more than a little curious at the reported rejection by Opposition Leader Mr Bruce Golding of the PNP's challenge for both parties to make public the sources of political contributions.
We assume that Mr Golding means that in the current unregulated context and until clear rules are put in place, such a move would be impractical and also prejudicial to the donors who made their contributions on condition of anonymity.<P class=StoryText align=justify>If that's what he is saying, we would agree with him.
But let's be clear. We must immediately start the process to get to the stage in the shortest possible time for clear rules of the game to be put in place - including, let us stress again, full disclosure of funding and limitations on party spending.
Otherwise, all the well-meaning talk of the last few days will be just so much hot air.

[Karl]

RE: Observer Editorial: Giving back Trafigura money not enough

Would there be some 'discomforture' by the parties and some doners if Bruce's exposure on one doner brings strident calls that force the disclosure of all donations to the parties?

It certainly appears that Bruce has opened a can that he will have great difficulty putting the lid back on!

[Karl]

RE: Observer Editorial: Giving back Trafigura money not enough

EDITORIAL - Paying the price for Trafigura
published: Monday | October 9, 2006 <DIV class=KonaBody>



The decision by the ruling People's National Party (PNP) to give back the $31 million 'gift' from Dutch commodity traders Trafigura Beheer and the resignation/firing of the party's general secretary and Information Minister, Colin Campbell, are clearly aimed at limiting the political fallout from the scandal.

Mr. Campbell, obviously, is paying the price for what is deemed ineptitude in his structuring of the deal, leaving the Government open to credible claims of corruption and kickbacks. For, while we suspect that Trafigura's statement that the cash was in furtherance of a commercial transaction was partly to appease European regulators, its effect is to imply shady dealings on the part of Jamaican government ministers and others close to Prime Minister Portia Simpson Miller.

Internally, the Trafigura scandal immediately does two things: It weakens the popular and populist Mrs. Simpson Miller and strengthens the position of the Peter Phillips wing of the party. Dr. Phillips was Mrs. Simpson Miller's closet rival for the job of party leader and prime minister during the PNP's leadership contest in February. After Mrs. Simpson Miller's victory, Dr. Phillips' supporters felt that they were being sidelined while the Portia yellow brigade made an arrogant march to ascendancy. Mr. Campbell and the Energy and Commerce Minister, Phillip Paulwell, were seen to be among the ascendant group.

Now Mrs. Simpson Miller is willing to sacrifice Mr. Campbell and, according to PNP insiders, Mr. Paulwell, too, came close to feeling the axe, the duo having been deemed to have made a hash of this party financing issue, which was handled with the counsel of senior PNP vanguard.

Mrs. Simpson Miller and party elders, including former Prime Minister P.J. Patterson, will hope that the Trafigura issue will, rather than reopen the wounds caused by the leadership race, pull the PNP closer together, causing it to hunker down and famously win a fifth consecutive term in office. An electoral victory had seemed more than a possibility after the PNP's recent big annual conference, at which Mrs. Simpson Miller's great charisma and popularity were highlighted.

Whatever the internal impact, the PNP leader should not assume that the fall of Mr. Campbell and the maintenance of the sword of Damocles over the head of Mr. Paulwell will be sufficient to satisfy the electorate. Nor does giving back the cash to Trafigura.

She needs to do more.

First, she must order that the Petroleum Corporation of Jamaica (PCJ) cancel its agreement to trade the oil received by Jamaica on concessionary terms, no matter how above board and rewarding PCJ says the agreement has been. People must be assured that Trafigura did not bribe its way to that agreement. Second, she must turn the issue of the payment and the controversial bank account over to the police Fraud Squad for investigation.

If Mrs. Simpson Miller was serious in her declarations that she depends on small donors for her election campaign, which would make the Trafigura issue an aberration, she should, ahead of any law regulating party financing, open a register of PNP contributors and lay it bare to public scrutiny. If, indeed, there is nothing more to hide.

The Prime Minister must also fast-track discussion and legislation on the issue, bearing in mind that is not only foreign companies that seek to pay for influence. <HR>The opinions on this page, except for the above, do not necessarily reflect the views of The Gleaner. To respond to a Gleaner editorial, email us: editor@gleanerjm.com or fax: 922-6223. Responses should be no longer than 400 words. Not all responses will be published.</DIV>

[Karl]

RE: Observer Editorial: Giving back Trafigura money not enough

The way it has been explained in the media Jamaica is 'purchasing' crude oil it cannot use in its refinery and then reselling that 'non-usable oil' at a profit.

Why it is good business to sell Jamaica crude oil Jamaica has no use for and then allowing....paying Jamaica for that oil which she cannot use...and, aid Jamaicato make a profit on suchpurchases?

[Mosiah]

RE: Observer Editorial: Giving back Trafigura money not enough

Karl, I still can't understand how you and Boyne don't see the revelation of the Trafigura "arrangement" as a big deal!

[Karl]

RE: Observer Editorial: Giving back Trafigura money not enough

Mosiah (10/9/2006)Karl, I still can't understand how you and Boyne don't see the revelation of the Trafigura "arrangement" as a big deal!

When you see gifts you have to jump at the opportunity take it. Bruce saw an opportunity to make political capital...and,moved. Immediately it struck a responsive cord with all persons tired of corruptionacross Jamaica. Bruce hoped the population would zero in on Trafigura and ignore all other forms of influence...illegal and immoral buying of influence. Not so!

The people are saying get out the machetes and chop out all the influence peddling. Not just that which deals with the Trafigura issue.

Bruce has inadvertently helped his country by using a terrible case of influence peddling involving huge sums of money. Sooooooo...this has come to light...what other....perhaps, greater attempts at buying 'government' and or 'government in waiting' is not revealed? Does it have to do with gun runners....dope dealers...local business/monied class...what? Let both parties declare whereall contributions originated such that the money trail can be followed and conclusions drawn. Who must get fired ...get fired! Who must go to jail...go to jail. Who knows...either party may have gotten greater contributions thanthis paltry $30+ million fromthose who would attempt to buy influence? ...and, persons in either or both parties may need to be exposed as having got down in the 'get down and dirty'business of'the selling of their souls' for personal gain or for party? We...the people believe they are out there!

Let the PNP and JLP come clean? I bet you they strike a deal! Both back off of the issue of 'money for influence'! There will be no suing of anyone! A law suit would bringall the dirt out into the open.

Most of us believe there is much the same type action as this "Trafigura issue"it in our politics. Jamaica is small and too many from both sides of the political isle are getting fat without any outward signs of hard work taking then to the heights of being 'fat cats'? Is it the people's money being diverted into their pockets or is it dirty money gains from other sources?Out di ole a dem an clean house!

What is the point of firing and putting into jail a few PNP persons...when there may very well be...it must be that there are other PNP and JLP and no P persons who if carted off will create a big dent in reducing the level of corruption in the society.

Most persons believe billions...multiple of billions of dollars (U$ dollars) aregoing down the deep hole of special interests pockets...what is U$30+ million compared to multiples of billions of dollars? The entire frigging thing must be cleaned up.

If it starts an controllable search and destroy mission rolling the political and financial fall out may be so far reaching that it shakes the foundation of the economy?How many connected by families across political lines are involved in secreting the p[people's money away? ....and, or are sharing in the spoils/the dirty money gains?

If anyone thinks Bruce will pursue this thing for long...forget-about-it! It is the people who must not make it die...and, it is the people who must dig deeper and follow the relationships of companies, business entities and persons...and follow the money trail.It would be silly to stick with thisTrafigura issue only...Flush dem out! Campbell is gone! Others must follow! Matters not in which party they reside!

Dawn Rich has come clean on "envelops buldging with cash and cheques".Oooh yes, she prattles about turning over huge sums from 'the goodness of the heart'...when hell freezes over. Which business man or criminal turns over huge sums of money without expecting value? None!

Trafigura bought influence! There are many others who have bought influence - have no doubt both parties have taken the graft. Trafigura