…And says Supreme Court will decide on compensation
The U.D.P. regime always had issues with Telemedia over the Accommodation Agreement and did not participate in the proceedings before the London Court of International Arbitration, except for a reaction last Monday when the court ruled in government’s favour. Earlier this year, G.O.B. threatened to arrest senior executives of both the telephone company and the Belize Bank. This was followed by an increase in business taxes imposed on Telemedia to the tune of twenty-four point five percent. Barrow answered the questions posed by the media following the House sitting.
Prime Minister Dean Barrow
“There will be a prospectus done after the new board of directors takes over and the new articles of association have been adopted. Shares will be valued and offered for sale to the public. That offer will not be limited to Belizeans. We are determined, however—and the new articles of association that will be adopted will in fact oblige this—that ultimately Belizeans must retain at least a fifty-one percent ownership of the company that’s being taken over.”
Jules Vasquez, Channel Seven
“Sir, who will determine the value of the asset that he is repaid and who will determine the terms upon which it is repaid?”
Prime Minister Dean Barrow
“The Supreme Court; the bill provides for claims of compensation to be made if there is dispute and we know there will be as to the amount of compensation to be paid. The Supreme Court of this country will make the final determination. Once you remove the accommodation agreement, if the court agrees that that accommodation agreement always was void, illegal, contrary to public policy, I think that the compensation becomes more reasonable—the value of the company becomes something that we would be more readily able to handle, perhaps three hundred million, three hundred and fifty million.”
Jules Vasquez
“US or Belize?”
Prime Minister Dean Barrow
“I’m talking about Belize dollars. It’s difficult for me, I am not an expert, I am not an accountant, I am not a valuer but I would think three hundred, four hundred million, that sort of thing.”
Marion Ali
“And in the interest of the staff of B.T.L. and the customers, the paying public, can you assure that the benefits of the staff would remain the same, that the rates would remain the same for the public?”
Prime Minister Dean Barrow
“I would hope that very shortly the rates would be lowered for the public but remember this will be run as a business. We have the people who are going to be in charge along with the senior management, being Mr. Nestor Vasquez and the right honourable Manuel Esquivel. I am sure that with that stewardship, the company will do extremely well.”
