G.O.B. Settles Lawsuit Brought by Glenn D. Godfrey Acquisitions
More than ten years ago, G.D.G. Acquisitions, a company controlled by Glenn Godfrey, sued the Government of Belize in the U.S. The lawsuit claimed that the government was liable for additional lease payments on telephone equipment under the master lease agreement for the now-defunct INTELCO. G.D.G. sought thirty million dollars in damages, but the government won the first round of litigation. G.D.G. Acquisitions, however, was successful in its appeal and after government’s attorneys reviewed the master lease agreement, the Prime Minister was advised that the matter be settled. On November fifteen, G.D.G. and G.O.B. entered into a conditional settlement agreement.
Dean Barrow
Prime Minister Dean Barrow
“That master lease agreement signed between Glenn Godfrey and the then administration, in fact by Ralph Henry Fonseca was so absolutely and outrageously one-sided that although initially we had won on some sort of a technically our lawyers are saying that on the merits, you can’t escape. But the fact is the Ralph Henry Fonseca being as we all thought at the time at least legally of sound mind and judgment on behalf of the administration presumably with the authority of cabinet signed this one=sided lease. And government is bound by the terms. INTECLO was relieved, was excused from any obligations whatsoever under the lease, any obligation of the sort that is not just expected as usual but obligatory with respect to commercial understandings. If the courts enforced the master lease, the damages award would have been large, up possibly to the extent to thirty million US dollars. In these circumstances we recommend a settlement. That is what brought us to this pass.”
Reporter
“Were you surprised that no one on the other side had a peep to say?”
Dean Barrow
“I was surprise but pleasantly so because I thought: here it is that finally those on the other side are by their silence are indicating their disapproval, displeasure, disgust at that happened with that particular transaction.”
The payment is expected to be made no later than December fourteenth, 2018.
