New mgmt team threatens citrus share sale

By now the public has become well acquainted with the long running circus that has been performing in the Stann Creek Valley for the better part of forty years. But make no mistake: while the unruly antics of citrus growers may at times be laughable, behind the comedy is a hundred million dollar a year industry that currently forms the backbone of Belize’s export economy. News Five’s Stewart Krohn reports on the latest episode in a long history of conflict in the citrus belt.

Stewart Krohn, Reporting
It was enough to make the statue of the citrus grower weep; the sight of some of the nation’s most prominent business people engaging in open warfare.

Anthony Chanona, Citrus Grower
“We are in a total state of self destruction. Unfortunately, it is happening at a time when the industry is owned by Belizeans. One hundred percent of this industry is owned by Belizeans; that’s historic. And for us to be operating at the level we have is just total chaos, total demise, and a total disappointment for me as a citrus grower involved in an industry over thirty-one years.”

But beyond the theatrics, caused largely by a lack of firm leadership and the knowledge of parliamentary procedure at the podium, the decisions taken by citrus growers on Saturday were nothing short of monumental.

In the morning the association’s annual general meeting was aborted an hour and a half after it started when growers objected to the late publication of financial reports, improper agenda, and questions over voting rights.

With a previously scheduled special general meeting set for two in the afternoon, it became clear that citrus growers had changed their minds since their last meeting and were ready to vote in a new board of management … A board with a mandate to reverse the deal under which Eastern Caribbean investors would purchase over forty-six percent of the growers owned processing company for twenty-five million dollars. Eugene Zabaneh, Belize’s largest single growers, led the successful fight on the floor.

Eugene Zabaneh, Citrus Grower
“I have said that this sales deal is a bad deal for the farmers, for the industry, for Belize. I am fighting for the good of my investment, for the good of the growers, and for the good of this industry.”

But talking about killing a deal is one thing, actually doing it is another.

Anthony Chanona
“Having signed, sealed, and handed over an agreement, to go in at this juncture to dismantle it can have far reaching implications for the industry.”

Henry Canton, C.E.O., Citrus Products of Belize Ltd.
“I don’t see how. I think that only way that can be done is by frustrating the investor and creating an environment of breach of contract and then possibly get them to want to pull out. But other than that, legally I don’t know of any way that you can reverse it.”

Eugene Zabaneh
“If it means that these people who have bought these shares will be levying legal action for damages against the association, so let it be, but we have to rescind this deal. This deal is not good for us and it’s going to be cheaper for us to rescind this deal and to deal with the legal matters that come with it than come to honour this deal.”

Stewart Krohn
“Do you see yourself continuing as C.E.O. with a change of management in the C.G.A.?”

Henry Canton
“Stewart, I am not going to run away of abdicate my responsibility as the as a C.E.O./managing director of C.P.B.L. Over the four years, it is not Henry Canton that did that job; it is Henry Canton and the staff. And for me to move away and leave my staff at a point like this where we have, first time every in the history of the industry, we spent back money into the business, we spent a lot of money in the human resource of the business. You go there, you have a people that want to come to work, you have employees that are willing to do whatever, because they now feel that they have ownership within it and I am proud of that part of it. … I am not opposed to change, all I would like is to see a change that would advance us.”

Eugene Zabaneh
“That Mr. Canton as a C.E.O. has done well, I would say, yes, but that’s besides the point.”

Stewart Krohn
“You have no plans to replace him? If you were in a position to replace him as C.E.O., would you want to replace him?”

Eugene Zabaneh
“We are not on a witch hunt here.”

But while Zabaneh may not have been hunting witches, he had no shortage of other targets.

Eugene Zabaneh (Speaking to audience)
“You have people who want to steal away this industry from us. And this is the wisdom here now that has been demonstrated this morning here. The wisdom of the farmers that they will not allow a handful of wicked people to prosper and to deprive all of us of what’s ours. And in this case, all those that have been associated with it, must step down and mek room for new people.”

And whether the C.G.A. is run by new people or old, the problem of leadership is not going to just disappear anytime soon.

Anthony Chanona
“The kind of reasoning that needs to prevail has not yet occurred and obviously a floor of an A.G.M. is not the place to do it. And the industry has not been able to get pass this point, people do not understand what is taking place.”

Stewart Krohn
“It would be easy to look at the chaos here and conclude that the future of Belize’s most promising industry is in the hands of a bunch of unruly children. But responsibility can have a sobering effect and with tens of millions of dollars at stake, the people in charge will need clear heads, steady hands, and at least a few good hearts. From the Stann Creek Valley, Stewart Krohn for News Five.”

The special general meeting, which was still going strong at sunset, managed to end in chaos with three of the newly elected board members–Tony Chanona, Frank Redmond, and Steve St. Cyr–resigning. They had requested a previously agreed-to softening of the resolution mandating the rescission of the investment deal, but when the framers of the resolution declined to back the amendment they left the board. At news time, various members were meeting in the hope of compromise. Presently, we can only say with certainty that there are six board members to run the affairs of the C.G.A.: Denzil Jenkins, Ricardo Escalante, Victor Quan, Gilly Waight, Francisco Bull, and David Hayles. And in case you were wondering, that aborted annual general meeting should bring growers together one more time, perhaps in a few weeks.