The war between the Ashcroft Empire and the Government of Belize may
have publicly subsided for a few months – but it was back in the courts
today where the GOB secured a significant victory – even if it proves
to be a short lived triumph. Revenue Court Magistrate Edd Usher ruled that the
Belize Bank has to pay the Government of Belize $11.4 million in income and
business tax arrears by the twelfth of February.
Magistrate Usher gave his decision following arguments by Senior Counsels
Eamon Courtenay for the Belize Bank and Lois Young for the Income Tax Department.
The Bank had submitted that the Magistrate Court could not hear the matter because
the claim exceeded the court’s jurisdiction of five thousand dollars.
Courtenay had also contended that because the arrears go as far back as 2006,
the court can delay the proceedings until after an application related to the
taxes was heard in the Supreme Court.
But Young strongly rebutted those positions, maintaining that the Belize
Bank “does not want to pay and will do everything in its power not pay”.
She also stated, “the Belize Bank is asking for pity because the taxes
are three years old. When has the Belize Bank, or any other Bank had pity on
any customer? They would have already seized [a defaulting] customer’s
property and put them on the street.” After considering
both sides, Usher ruled that the Belize Bank must pay a total of 11,431,552
dollars and 91 cents in two equal payments. Following those orders, 7News spoke
to both attorneys.
Lois Young, Income Tax Department Attorney
“They are saying one thing with one breath and doing something else
with another. Every time they make, they say one thing, they run to the Supreme
Court and they use litigation to try and crush their opponents into submission.
Every thing they appeal against.”
Janelle Chanona,
“I know you made the point that the Belize Bank wants to pay but then
one would argue then, why contest actually paying?”
Eamon Courtenay, Attorney for Belize Bank
“Well the bank is entitled to, like anyone else if you have a dispute
about the amount of tax to be paid to go through the procedures to have it determined.
As I understand it, there is an agreement between the Government and the Belize
Bank that any dispute would be resolved by arbitration and the Bank is simply
going through that process.
In fact what has happened is in fact the tribunal, the arbitrator has already
issued an injunction calling on the Government to not proceed with the enforcement
of these taxes until the arbitration is completed. The Government has decided
to proceed as we witnessed today so we have gone to the Supreme Court to ask
the Supreme Court now to support the Arbitral process by granting a stay.”
Lois Young
“To me, it is outrageous that the former Prime Minister and Minister
of Finance signed that Accomodation Agreement, along with the former Attorney
General. That the core and the root of all the problems that we are having.
When I look at those agreements, the Settlement deed, the accommodation agreement
and I look at what he agreed to and then having given away the house and all
the furnishings he then says and if we have to adjudicate upon this gift that
I am giving you we are going to do it in a foreign jurisdiction subject to their
laws before an arbitral tribunal with all the attendant expenses is to me, outrageous,
I have no idea of what he was thinking of or if he took leave of his senses
temporarily when he did that.”
The Belize Bank’s application for an injunction against the Government’s
enforcement efforts is set for Tuesday, February fourth.
Email
Print