Howai distances himself from NGC spending
By Ria Taitt Political Editor (T&T Express)
Story Created: Mar 11, 2015 at 11:29 PM ECTFinance Minister Larry HowaiPort-of-SpainFinance Minister Larry Howai has made it clear the increased spending referred to in the report of the auditors of the National Gas Company (NGC) took place after he gave up the chairmanship of the State-owned company.
Opposition Senator Faris Al-Rawi yesterday called on Howai to declare whether there is any conflict of interest in his ultimate supervision of the NGC issue.
Howai was appointed chairman of NGC in October 2010 and left the company in June 2012, to become Finance Minister.
Al-Rawi said because the NGC audit report considered expenditure in the period 2012 to 2014, Howai should be made to declare whether there is any conflict of interest in him overseeing the investigation by the three-man committee established under the aegis of the Ministry of Finance and the Ministry of Energy.
But Howai noted in an e-mail response last night the increases in spending at NGC took place after he left the company.
“Why would that affect my ability to review the matter?” he asked.
Al-Rawi said the People’s National Movement (PNM) was immediately concerned the investigation of the most recent scandal at NGC be conducted by independent auditors.
He said without reflecting negatively on any of the good persons appointed on the committee, it was essential there is public confidence that the management of NGC is in pristine order since the company was about to go into an IPO (initial public offering) of Phoenix Park shares.
Al-Rawi said with the massive drop in energy prices and the magnitude of this scandal, the PNM felt the Phoenix Park IPO should be deferred. He said one cannot put the IPO into the hands of NGC when there are serious questions about its capability and competence, and this is worsened by the reports members of the audit team have been transferred.
Opposition Leader Dr Keith Rowley, in calling for an independent forensic probe into expenditure by NGC, stated Energy Minister Kevin Ramnarine had already suggested he expected the NGC board to be exonerated.
In the Senate on Tuesday, Ramnarine stated the company had a plausible explanation for many of the allegations being made in the media.
“Therefore, the appointment of this committee is in preparation of a cover-up of some kind or in preparation of a still-born activity which will generate no result for the public in a timely manner,” Rowley said.
Rowley said what was required was a respectful and truthful acknowledgement of the work of the auditors that is contained in the auditors’ report. He reiterated the board must be held accountable and as such should be immediately dismissed, and the Integrity Commission should immediately intervene.
“The Integrity Commission has a responsibility, where public officials have misconducted themselves with public assets, to intervene,” Rowley stated.
He noted while the committee established by the Minister to investigate NGC is made up of prominent members of the Public Service and the private sector, one member of the committee, Phillip Marshall, had previously been in charge of an examination of allegations of squandermania at Caribbean Airlines (CAL), and the report of this investigation was never brought to Parliament or made public.
Ramnarine announced on Tuesday a three-man committee would investigate allegations made against NGC.
This followed a report from the company’s auditors which detailed apparent mismanagement of the communications budget, which ballooned from $67 million in 2012 to $200 million in 2014.
Meanwhile, PNM MP Patricia McIntosh stated the NGC expenditure in respective constituencies indicated $5 million was spent in her constituency, Port of Spain North/St Ann’s West.
“I am the Member of Parliament and I have no idea where this money was spent. Who got this money?” she asked.
McIntosh said she knew nothing about this $5 million and had no evidence of such expenditure in the constituency.
She said Port of Spain South MP Marlene McDonald was equally baffled as to where the almost $5 million was spent in her constituency.