And while PM Barrow is satisfied with the government’s position,
that hasn’t stopped the Belize Bank from making claims in court against
BTL for the US$22.5 million principal and interest. Barrow calls that nuisance
litigation and says he will deal decisively with those behind it.
Hon. Dean Barrow,
“Their argument is when the government acquired the mortgage debenture,
all it did was to acquire the mechanism that would allow the bank to enforce
the debt against Telemedia. We think that’s nonsense. The wording of the
acquisition order, we think, is sufficiently wide to make clear that the government
was acquiring all and any rights that the bank had in that loan transaction,
which loan transaction was secured by the mortgage debenture.
So we don’t think that they can succeed in terms of this new argument
that oh we will leave aside the mortgage debenture, which we concede you acquired,
but we will go by way of the loan facility letter. And in support of that is
the fact that they have lodged a claim with the government for compensation
for the US$22.5 million. To me that means they accept that in taking the mortgage
debenture, we took their rights to recover the US$22.5 million from Telemedia.
But in my view, we know who we are dealing with and that person, and his
cohorts, his agents, will stop at nothing to try to put the government through
changes and have us jump through hoops. But I have one short answer to that,
while we are certain of our position, there is no harm in making assurance doubly
sure and the legislation entitles the Minister to make additional orders from
time to time to clarify anything that needs clarified or to provide for additional
takings if there is a need for additional takings.
They must know that I will have absolutely no hesitation in having the
government via the Minister of Telecommunications make another order to say
for avoidance of doubt, to make assurance doubly sure, we acquired all their
rights, you claim you did not, well alright we are spelling it out now in a
way that even somebody in infant one can understand and we will put it beyond
the reach of you and your lawyers. We will make it absolutely clear that what
was acquired and what for the avoidance of all doubt we are making clear was
acquired is all our rights, our entire bundle of rights in that loan.”
Jules Vasquez,
“However you will realize that crafting legislation or a directive with
the authority of the legislation has the effect of making it seem that the executive
is making laws to thwart an investor.”
Hon. Dean Barrow,
“Well quite frankly, as a general principle that is not to countenance.
I don’t think this is a matter of an investor trying to vindicate his
rights. He is doing that by claiming compensation and in fact by going to court
to challenge the entire taking. This additional action is nuisance value but
in any event if I am wrong that particular investor is not deserving of the
usual consideration that would be obligatory in a case of bonafide investors
who have not set out to do what that particular investor has done.
In other words, I will make no apologies if that investor wants to portray
what’s happening in that light, that’s fine. I am confident that
the Belizean people recognize how absolutely fundamental the stakes are and
confident that the Belizean people is fully behind the government in terms of
the government treating this particular personage in a way that makes clear
that we expect low quarter but equally we will give low quarter.”
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