- NEWSDAY.CO.TT - A la Une - 12/Aug 19:13

DPP to review Cepep $1.4b contract files

Director of Public Prosecutions Roger Gaspard, SC, says he will review the court documents from the CEPEP contract extension case and decide if a police investigation is needed, but stressed he cannot set deadlines for the police. He also said he would inform the public of any major developments. “I will peruse the subject documents,” the DPP told Newsday on August 12. “If there is a need for an investigation, that would have to be done by the police. “I cannot impose any time frame on the police,” he said, adding, “I do consider it my duty to apprise the people of Trinidad and Tobago of any significant developments, especially since my office is a public one.” The files, sent to his office on August 8 after Justice Margaret Mohammed’s ruling, relate to allegations that Cepep’s former board improperly extended over 300 contracts worth $1.4 billion without proper cabinet approval. The judge stayed the lawsuit by Laventille-based contractor Eastman Enterprises Ltd, challenging the termination of the contracts, and ordered the referral, highlighting serious concerns raised by Cepep on the contract extension to September 2029, days before the April 28 general election. Mohammed noted the conflicting accounts between former Cepep chairman Joel Edwards and current CEO Keith Eddy. She said, “The serious matters concerning the extension of the agreement to September 2029 necessitate the granting of a stay of the claim and all proceedings and a referral of all the documents filed in this action to the Director of Public Prosecution for his consideration.” Edwards, in an affidavit in support of Eastman’s lawsuit, said that during his tenure, cabinet approval was never sought for renewing or terminating contracts. He claimed a board note suggesting cabinet approval for a mass contract extension was a mistake, which he had ordered to be corrected, though he was unable to locate the revised version. However, in response to a pre-action letter from Cepep’s attorneys, Edwards denied fraud and said the extensions were covered by a 2017 cabinet decision. He said Cabinet Note F(17)196 (Revised), together with the recommendations of the Finance and General Purposes Committee, crystallised in Cabinet Minute No. 1327 of July 27, 2017, would prove the existence of cabinet approval, which authorised the termination, suspension, renewal or issuance of Cepep contracts. Eddy said he was told by Edwards that the cabinet had approved the extensions and was assured a confirmation memorandum would follow. Relying on Edwards’ claims and the alleged involvement of then-line minister Faris Al-Rawi, Eddy instructed that the board note be prepared stating cabinet approval had been granted. At no point, he said, was he informed of any error in the document. That document, BN01/25, sought ratification for the extension of contracts to core contractors, key personnel and operational services. The document was dated April 23 and signed by both men. It noted discussions between the two on the proposed extension were held in March, and the chairman advised that the proposal was considered by cabinet, which had agreed to the proposed extension of contracts across the company for three years. Edwards sought to explain that the board note could be viewed as referring to a recent cabinet decision and not the 2017 cabinet approval, and he sought a correction. He also denied speaking with Al-Rawi or taking his instructions. Al-Rawi has welcomed “any proper investigation into this matter and any questions arising,” but pointed to what he described as “critical material” not before the court, including the 2017 cabinet note and a 2025 cabinet decision approving mid-year budget supplementation. Both, he said, had been publicly acknowledged by former finance minister Colm Imbert. “It is starkly relevant to note that these cabinet decisions and other critical material have not been disclosed in the Eastman proceedings and were therefore not before the Honourable Madame Justice Mohammed in her deliberations.” The issue has triggered political debate, and Public Utilities Minister Barry Padarath has said the current Cepep board is considering legal action for alleged breach of fiduciary duty. The post DPP to review Cepep $1.4b contract files appeared first on Trinidad and Tobago Newsday.