T&T Government Defends Decision To Withdraw Multi-million Lawsuit Against Former PETROTRIN Boss

PORT OF SPAIN, Trinidad, Mar 4, (CMC) – The Trinidad and Tobago government has defended its decision to support the move by the state-owned PETROTRIN oil company, to discontinue a multi-million dollar law suit brought against its former Executive Chairman, Malcolm Jones, regarding the World Gas to Liquids Limited (WGTL) project.

The main opposition United National Congress (UNC) has criticised the decision to withdraw the case that had been filed during the tenure of the former People’s Partnership government, headed by Kamla Persad Bissessar.

In a statement, the UNC, which formed the biggest partner in the coalition People’s Partnership administration that lost the 2015 general election, said, that it wanted Attorney General Faris Al-Rawi “to make full and frank disclosure of the Government’s true intention about the future conduct of these cases, so that the public can judge whether there is more in the mortar than just the pestle”.

The party said, that it noted with “grave concern the sudden discontinuance of the TT$1.2 billion (One TT dollar=US$0.16 cents) case filed by PETROTRIN against Jones.

“We hereby call upon him to release copies of all legal opinions from the inception of this matter, leading to its abrupt discontinuance, in the public interest. If he has nothing to hide, then this should pose no difficulty.”

But Prime Minister, Dr. Keith Rowley, speaking in Tobago at the end of the weekly Cabinet meeting, said, he supports the decision of Al-Rawi to drop the multi-million dollar case against Jones and instead, called on former attorney general, Anand Ramlogan, to explain why evidence in the matter had been suppressed.

Rowley told reporters, that it is taxpayers who are footing the bill for the lawyers, which Al-Rawi has pegged at an estimated TT$45 million so far, with the matter yet to reach the court in any substantive way.

“Who is going to ask him (Ramlogan) why the evidence was suppressed so that (attorney Vincent) Mr. Nelson only saw the arbitration proceedings, TT$41 million later, and who is going to be accountable for the $41 million that should never have been spent?”

Rowley said, this is the question that taxpayers should be asking Ramlogan.

Meanwhile, the Ministry of the Attorney General and Legal Affairs has released the legal opinion by Queen Counsel Nelson that led to the decision to drop the case.

In supporting Al-Rawi’s position, the Ministry said, his predecessors, Anand Ramlogan and Garvin Nicholas, had “a serious and direct obligation” to appraise the legal team, led by Nelson, of all matters directly affecting the case.

The Ministry said, both men, “would have known of the material relevance and importance of the statements and evidence on the arbitration proceedings to counsel in the PETROTRIN vs Jones matter

“The issue at hand is, why was the relevant and material evidence in the arbitration proceedings that directly impacted the PETROTRIN v Jones litigation, suppressed.”

PETROTRIN’s claim against Jones was initiated on May 3, 2013 on the basis of written advice by Nelson and Russell Martineau SC, “who both opined that there was a prima facie civil case under the Companies Act to be answered by Mr Jones for an alleged breach of care and diligence as a director and executive chairman of PETROTRIN in relation to the Gas to Liquids Project,” the statement from the Ministry of the Attorney general and Legal Affairs said.

It said, at that time, PETROTRIN gave “direct authority” to then Ramlogan, “for his care and conduct and close supervision in this matter” and that the High Court proceedings against Jones “is and was directly and intimately related,” to the WGTL arbitration proceedings which were held in Canada and the United Kingdom.

It said that Jones’ defence to the claim against him, relied upon the evidence in the arbitration proceedings.

But the Ministry said, none of the material in these proceedings was disclosed by PETROTRIN in the High Court proceedings against Jones, and that on April 17, 2015, Jones made an application to the court for specific disclosure of witness statements of former directors and senior management adduced by PETROTRIN in the arbitration proceedings.

But in his legal opinion, Nelson claims “I was not involved in the relevant arbitrations between PETROTRIN and WGTL Inc nor was I consulted regarding the drafting of the witness statements”.

Nelson said, he considered the witness statements of two of these persons whose statements were not available in 2011 when he originally advised that there was a prima facie case against Jones.

He said, after carefully considering these statements, he came to the conclusion that PETROTRIN’s board found itself committed to the WGTL project, “through bad business decisions” and the state-oil company did what it could to protect its assets and that Jones would testify to the same effect.

Al Rawi said, that the present government took the decision to retain the same lawyers appointed by the last administration to pursue the matter.

“This decision was taken, not only because this team of attorneys were retained and paid significant fees in the matter, but because the team had been in conduct of the matter since inception and the trial of the matter was fixed to be heard in February 2016.”