Belize, like the rest of the world is currently in the midst of an economic crisis created by the ongoing coronavirus pandemic, and tonight, the Barrow Government is bracing for another body blow. That's after the Caribbean Court of Justice has ruled that GOB owes many millions more in damages to the Ashcroft Alliance.
As we told you, the Government and the Ashcroft company, Belize International Services Limited (BISL), has been waiting for a ruling the Government's 2013 acquisition of the International Merchant Marine Registry of Belize (IMMARBE) and the International Business Companies (IBC) Registry.
In June of 1993, BISL entered into a management services agreement with the Government for these two registries. In May 2003, the agreement was renewed for a further 10 years, but in March 2005, the Musa Administration agreed with BISL to extend it once again to 2020.
We fast forward to 2013 when the Prime Minister and his government stepped in and nationalized the registries on the premise that this extension was unlawful and illegal.
BISL challenged the nationalization in the Supreme Court and the Court of Appeal and lost in both cases. They appealed once more to the Caribbean Court of Justice, and after extensive arguments from both sides, and careful consideration by 4 judges of the CCJ, they today delivered their ruling on BISL's appeal.
It's some of the strongest word choices we've seen the court make since that famous "malignant tumors" comment in their decision about the Accommodation Agreement.
At paragraph 368 of the 144-page judgment, the CCJ says, quote, "The omissions by the Government to take any reasonable steps to try and resolve its issues with BISL collaboratively and amicably, together with its unilateral and high-handed actions to take over the Registries were contextually arbitrary, inconsistent with the standards of good governance, in breach of the duty of good faith, contractually unreasonable, fundamentally unfair, an abuse of State power, and therefore contrary to the rule of law. Taken together these all constitute a serious threat to, and undermining of, fundamental and core constitutional values and principles. They also weaken the integrity of the legal system, especially if the government is permitted to enjoy exemption from its failure to comply with its rule of law obligations in this case. And as well, left unaccounted for they diminish constitutional faith and public trust, and hence democratic legitimacy."
The court's decision was broadcasted via YouTube this evening, and we have a few choice excerpts from the 50-minute summary:
Email
Print