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Seaga's firms for A-G's scrutiny
published: Monday | January 26, 2004

By Damion Mitchell , Staff Reporter


Roger Clarke (centre), jokes with P.J. Patterson (left), Prime Minister and president of the People's National Party (PNP), and Peter Phillips, a vice-president, at yesterday's National Executive Council meeting at the Dinthill Technical High School, St. Catherine. Clarke is a former vice-president of the PNP. - Norman Grindley /Staff Photographer

PRIME MINISTER P.J Patterson, stating that he had an obligation to "protect the public purse", said yesterday that the Attorney-General's Department would provide the Government with advice on how to handle financial matters relating to the companies of Opposition Leader Edward Seaga.

Mr. Patterson, in addressing the People's National Party's (PNP) National Executive Council (NEC) meeting at the Dinthill High School, St. Catherine, stated that there would be no political interference on the part of the Government.

"The laws dealing with a company in liquidation are clear and so is the order of priority which is to be afforded in the payment of outstanding statutory duties and the termination of payments due to workers," Mr. Patterson said.

It was reported earlier this month that Mr. Seaga's Town and Country Resorts company, with unpaid debts of $443 million, is to be dissolved. The company has zero assets, according to a December 28 statement. The majority of Town and Country's outstanding liabilities to the Government amount to $243 million of unpaid statutory deductions and taxes, including General Consumption Tax of $155 million. This includes principal and interest assessed against Enchanted Gardens, Mr. Seaga's tourism-related property.

NO GOV'T INTERFERENCE

Mr. Patterson told the NEC members that neither the Government nor the PNP would be making pronouncements on the 'financial health' of companies owned by the Opposition Leader.

Also, he said that the party was not concerned about the recent leadership squabbles in the Jamaica Labour Party (JLP). "We are not going to meddle in the internal struggles within the JLP," he said, noting that he had been approached by persons 'outside of the PNP' to comment on the situation.

According to the Prime Minister, the Government was more concerned with pursuing the policies that were set out in the PNP's 2002 manifesto. He said that despite criticisms by the JLP that the Government could not finance its budget, a deficit of no more than four per cent of the Gross Domestic Product would be maintained. And while accusing the JLP of trying to erode confidence in the Jamaican economy, he said that last week's securing of 200 million euros (US$253 million) on the open market, was a 'blow' to the Opposition.

Also, the Prime Minister announced that Dr. Omar Davies, the Finance Minister, would open the budget debate for the next fiscal year on March 31 and said that the Government would continue to work with the private sector through the Partnership-for-Progress initiative and with all other units of society that may contribute to national development.

Robert Pickersgill, PNP chairman, told The Gleaner that the reports tabled at yesterday's NEC meeting by representatives of the respective political regions indicated that the level of organisation was improving.

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