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CG recommends halting the sale of the Sandals Whithouse Hotel to GORSTEW Ltd.
Kingston; January 19, 2011; The Office of the Contractor General (OCG) has today written to Prime Minister,
the Hon. Bruce Golding, and to the Permanent Secretary and Accounting Officer in the Office of the Prime
Minister, Ms. Onika Miller, to formally recommend that urgent steps be taken to halt the Administration’s
proposed sale of the Sandals Whitehouse Hotel to the Gordon ‘Butch’ Stewart owned and controlled Gorstew
Limited. The OCG has also recommended that the Government should, thereafter, re-start the divestment
process, and subject same to the transparent and structured scrutiny and supervision of the OCG.
The OCG’s recommendations have come on the heels of the completion of its evaluation of documentation,
regarding the proposed sale, which was submitted to it by the Cabinet Secretary, on January 7, 2011, as well as
its evaluation of the Statement on the matter which was made in Parliament by the Prime Minister on January 11,
2011.
The OCG, in its letter, has also formally advised the Prime Minister and the Permanent Secretary that the OCG
would be commencing a Special Statutory Investigation into the circumstances which have so far attended the
Government’s negotiations and discussions for the sale of the Hotel.
In giving its reasons for its considered recommendations and its decision to commence its Investigation,
the OCG, in its 22-page letter, has outlined several issues which have raised serious questions and concerns
of possible irregularity and impropriety in respect of the proposed deal. These include certain unexplained
circumstances regarding the valuation of the Hotel, specified conditions precedent for the consummation of the
proposed deal which were not satisfied although they were reported to have been dictated by the Prime Minister,
as well as apparent opportunities which were presented to the Government to pursue alternate options for the sale
or valuation of the hotel which were not acted upon. The OCG has also raised a number of issues and questions
regarding the justifications which were given by the Prime Minister for the Government’s decision to proceed
with the sale of the Hotel to Gorstew Limited.
The OCG is an Independent Anti-Corruption Commission of the Parliament of Jamaica, which has the exclusive
statutory mandate, under Sections 4 (1) and 15 of the Contractor General Act, on behalf of the Parliament, to
monitor and to investigate the award of Government contracts, inclusive of State asset divestment contracts, to
ensure that they are awarded impartially and on merit, and in circumstances which do not involve impropriety or
irregularity.
In the interest of public transparency, and acting under the special powers that are reserved to a Contractor
General by Section 24 (1) (b) of the Contractor General Act, the OCG has also taken the decision to make its
letter public.
Kingston; January 19, 2011; The Office of the Contractor General (OCG) has today written to Prime Minister,
the Hon. Bruce Golding, and to the Permanent Secretary and Accounting Officer in the Office of the Prime
Minister, Ms. Onika Miller, to formally recommend that urgent steps be taken to halt the Administration’s
proposed sale of the Sandals Whitehouse Hotel to the Gordon ‘Butch’ Stewart owned and controlled Gorstew
Limited. The OCG has also recommended that the Government should, thereafter, re-start the divestment
process, and subject same to the transparent and structured scrutiny and supervision of the OCG.
The OCG’s recommendations have come on the heels of the completion of its evaluation of documentation,
regarding the proposed sale, which was submitted to it by the Cabinet Secretary, on January 7, 2011, as well as
its evaluation of the Statement on the matter which was made in Parliament by the Prime Minister on January 11,
2011.
The OCG, in its letter, has also formally advised the Prime Minister and the Permanent Secretary that the OCG
would be commencing a Special Statutory Investigation into the circumstances which have so far attended the
Government’s negotiations and discussions for the sale of the Hotel.
In giving its reasons for its considered recommendations and its decision to commence its Investigation,
the OCG, in its 22-page letter, has outlined several issues which have raised serious questions and concerns
of possible irregularity and impropriety in respect of the proposed deal. These include certain unexplained
circumstances regarding the valuation of the Hotel, specified conditions precedent for the consummation of the
proposed deal which were not satisfied although they were reported to have been dictated by the Prime Minister,
as well as apparent opportunities which were presented to the Government to pursue alternate options for the sale
or valuation of the hotel which were not acted upon. The OCG has also raised a number of issues and questions
regarding the justifications which were given by the Prime Minister for the Government’s decision to proceed
with the sale of the Hotel to Gorstew Limited.
The OCG is an Independent Anti-Corruption Commission of the Parliament of Jamaica, which has the exclusive
statutory mandate, under Sections 4 (1) and 15 of the Contractor General Act, on behalf of the Parliament, to
monitor and to investigate the award of Government contracts, inclusive of State asset divestment contracts, to
ensure that they are awarded impartially and on merit, and in circumstances which do not involve impropriety or
irregularity.
In the interest of public transparency, and acting under the special powers that are reserved to a Contractor
General by Section 24 (1) (b) of the Contractor General Act, the OCG has also taken the decision to make its
letter public.
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