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Contractor-General investigating security contract at Kingston airport
JamaicaObserver.com
Thursday, May 06, 2010
var addthis_pub="jamaicaobserver";
THE Office of the Contractor General is investigating the recommendation by Norman Manley International Airports Limited (NMIA) of a $150 million security contract to Protection and Security Limited, the principal of which, the OCG said, also serves on the boards of NMIA and the Airports Authority of Jamaica (AAJ).
The OCG said that the NMIA's recommendation was endorsed by the National Contracts Commission on Feburary 25 and reportedly by the Infrastructure Committee of the Cabinet on May 3.
In a statement today the OCG listed the following reasons for its investigation:
1. The fact that the principal of Protection and Security Limited, Mr. Dennis Morgan, is a serving member of the Boards of Directors of the NMIA and the Airports Authority of Jamaica (AAJ).
2. The seemingly wide void which exists between NMIA’s $198,458,716.95 Comparable Estimate for the contract and the contract bid amount which was proposed by Protection and Security Limited of $149,940,000. The final bids of the other four (4) tenderers were $184,856,001, $187,157,250, $207,281,867.72 and $209,619,615 respectively.
3. The fact that the OCG has on several previous occasions expressed to the Parliament and the Government of Jamaica, in unequivocal and very strong terms, the inherent dangers which exist and the inescapable perception of a conflict of interest which arises when a Public Body awards a Government contract to a Contractor in which a Board Member of the Awarding Public Body has a pecuniary interest.
4. The fact that the OCG has, in the past 20 months, in at least four (4) different Reports of Special Investigation, made the following verbatim Recommendation to the present Administration , but to no avail:
“That the Cabinet should move with expedition to develop and to implement a comprehensive and over-riding policy to be applicable to all Public Body Boards, to govern, restrict or prohibit, as the case may be, the award of Government contracts (or the divestment of publicly owned assets) by a Public Body, to members of its Board of Directors, or to any entity in which a Board member or a close family relative may have a pecuniary interest”.
The referenced Recommendation was made by the OCG in the following OCG Reports of Investigation:
(a) The Development Bank of Jamaica Investigation Report , dated October 2008, regarding Mr. Aubyn Hill;
(b) The Jamaica Urban Transit Company Investigation Report, dated November 2008, regarding Mr. Douglas Chambers;
(c) The Caymanas Track Limited Investigation Report, dated January 2009, regarding the Hon. Patrick Rousseau, OJ; and
(d) The Bureau of Standards Jamaica Investigation Report, dated May 2010, regarding Dr. Henry Lowe (NB. This Report was submitted to the Parliament of Jamaica by the Contractor General under cover of a letter dated, May 4, 2010. The Report has not yet been tabled in both Houses of Parliament).
5. The OCG’s receipt of a Letter of Complaint, dated May 4, 2010, from Guardsman Limited, one of the tenderers for the referenced Government contract. In its letter, Guardsman alleges, among other things, (a) that “the Shareholder and Chief Executive Officer of Protection and Security Limited is a member of the Board of Directors for NMIA”, (b) “that Protection & Security, having a member on the Board of NMIA, would have privileged information about the tender process which would not be available to outsiders and, as such, presents a conflict of interest”, and (c) that “the awarding of Government contracts to serving (Public Body) Board members violates the edict of the Prime Minister”.
JamaicaObserver.com
Thursday, May 06, 2010
var addthis_pub="jamaicaobserver";
THE Office of the Contractor General is investigating the recommendation by Norman Manley International Airports Limited (NMIA) of a $150 million security contract to Protection and Security Limited, the principal of which, the OCG said, also serves on the boards of NMIA and the Airports Authority of Jamaica (AAJ).
The OCG said that the NMIA's recommendation was endorsed by the National Contracts Commission on Feburary 25 and reportedly by the Infrastructure Committee of the Cabinet on May 3.
In a statement today the OCG listed the following reasons for its investigation:
1. The fact that the principal of Protection and Security Limited, Mr. Dennis Morgan, is a serving member of the Boards of Directors of the NMIA and the Airports Authority of Jamaica (AAJ).
2. The seemingly wide void which exists between NMIA’s $198,458,716.95 Comparable Estimate for the contract and the contract bid amount which was proposed by Protection and Security Limited of $149,940,000. The final bids of the other four (4) tenderers were $184,856,001, $187,157,250, $207,281,867.72 and $209,619,615 respectively.
3. The fact that the OCG has on several previous occasions expressed to the Parliament and the Government of Jamaica, in unequivocal and very strong terms, the inherent dangers which exist and the inescapable perception of a conflict of interest which arises when a Public Body awards a Government contract to a Contractor in which a Board Member of the Awarding Public Body has a pecuniary interest.
4. The fact that the OCG has, in the past 20 months, in at least four (4) different Reports of Special Investigation, made the following verbatim Recommendation to the present Administration , but to no avail:
“That the Cabinet should move with expedition to develop and to implement a comprehensive and over-riding policy to be applicable to all Public Body Boards, to govern, restrict or prohibit, as the case may be, the award of Government contracts (or the divestment of publicly owned assets) by a Public Body, to members of its Board of Directors, or to any entity in which a Board member or a close family relative may have a pecuniary interest”.
The referenced Recommendation was made by the OCG in the following OCG Reports of Investigation:
(a) The Development Bank of Jamaica Investigation Report , dated October 2008, regarding Mr. Aubyn Hill;
(b) The Jamaica Urban Transit Company Investigation Report, dated November 2008, regarding Mr. Douglas Chambers;
(c) The Caymanas Track Limited Investigation Report, dated January 2009, regarding the Hon. Patrick Rousseau, OJ; and
(d) The Bureau of Standards Jamaica Investigation Report, dated May 2010, regarding Dr. Henry Lowe (NB. This Report was submitted to the Parliament of Jamaica by the Contractor General under cover of a letter dated, May 4, 2010. The Report has not yet been tabled in both Houses of Parliament).
5. The OCG’s receipt of a Letter of Complaint, dated May 4, 2010, from Guardsman Limited, one of the tenderers for the referenced Government contract. In its letter, Guardsman alleges, among other things, (a) that “the Shareholder and Chief Executive Officer of Protection and Security Limited is a member of the Board of Directors for NMIA”, (b) “that Protection & Security, having a member on the Board of NMIA, would have privileged information about the tender process which would not be available to outsiders and, as such, presents a conflict of interest”, and (c) that “the awarding of Government contracts to serving (Public Body) Board members violates the edict of the Prime Minister”.
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