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Faris Al-Rawi - FORMER rural development and local government minister Faris Al-Rawi says a proper investigation into an extension of over 300 Cepep contracts was welcome after the High Court ruled the matter be forwarded to the Director of Public Prosecutions (DPP) for probe on August 7.
Al-Rawi's comments came after Justice Margaret Mohammed stayed a lawsuit filed by a Laventille-based contractor challenging the termination of its contract with the Cepep Company. The judge ruled that the contractor was bound by his agreement with the company to seek mediation before court action was taken against Cepep.
In addition, the court said allegations made in an affidavit by Cepep CEO Keith Eddy that Al-Rawi and former chairman Joel Edwards had erroneously claimed that cabinet had approved the contract extensions was worthy of investigation by the DPP. She ruled that documents related to the allegations be sent to the DPP.
In her judgment, Mohammed said while the contractor who brought the case, Eastman Enterprises Ltd, was not implicated in any fraudulent activity, it had benefited from the disputed extension and should have been aware of the irregularities. She said given the serious nature of the allegations and the absence of a sworn affidavit from Al-Rawi, as the former minister, it was in the interest of justice to stay the proceedings.
In a statement after the judgement, Cepep called on Al-Rawi to clear the air on the issue, saying it was prepared to co-operate with authorities and any investigation into the matter.
In a statement to Newsday on August 7, Al-Rawi said Mohammed said the evidence on the renewal of the agreement currently before the court was set out by Cepep from its CEO Keith Eddy, its corporate secretary/head legal Nicole Gopaulsingh and Ministry of Public Utilities permanent secretary Neela Ram-Atwaroo and the claimant from former Cepep chairman Joel Edwards.
“Importantly the Judge carefully noted that I as former line minister for Cepep am not a party in the Eastman proceedings and have not sworn an affidavit in the action. The judge ruled that it is only fair that in these circumstances that an opportunity be given to respond.
“Any proper investigation into this matter and any questions arising is welcomed. Cepep has a continuing duty of full candour and disclosure.”
Al-Rawi noted that, on a previous occasion, former finance minister Colm Imbert had said there was a “valid and undisturbed 2017 cabinet note from the Ministry of Finance which, among other things, authorises Cepep to terminate, suspend and hire contractors.
Al-Rawi also noted a cabinet decision by the current government for Cepep funding in the Mid-Year Supplementation of the Budget in 2025.
“It was starkly relevant to note that that these cabinet decisions and other critical material have not been disclosed in the Eastman proceedings and were therefore not before Madame Justice Mohammed in her deliberations leading to the ruling today.”
Public Utilities Minister Barry Padarath also commented on the judgment while speaking at a post-cabinet media briefing at the Diplomatic Centre in Port of Spain, later on August 7.
Padarath, Cepep's line minister, said he supported the company in its decision to call on Al-Rawi to clear the air on the matter in the public interest.
“Cepep is intent on co-operating with the anti-corruption bureau, the fraud squad and the authorities in this matter. We must get to the bottom of the matter as to who misled the management of Cepep with respect to the issue of cabinet approval.
“We have set out a strong case in terms of evidence to the court, which has now ruled the matter must go before the DPP. There are a lot of questions to be answered, and the people responsible for answering those questions who would have sat in cabinet prior to April 28 and, most importantly, the line ministers with responsibility for Cepep.”
“We were very clear that it was not about the extension of the contracts, but the committal of $1.4 billion in taxpayers' money being injected into Cepep for an additional three years without any Cabinet approval."
“It is a senior judicial officer who has sent this matter to the DPP. It now involves senior former members of the government in terms of answering how we arrived at the situation, whether or not the accusations and allegations are true that have been made by the current CEO who would have served as the CEO at the time these contracts would have been extended, and the role, if any, which would have been played by former Minister Faris Al-Rawi in this matter.
“I don’t think there has been a more scandalous matter as it relates to the public purse as has been unearthed at Cepep. And, therefore, the onus is on those who would have served in government to provide the country with answers.”
Padarath added that government and Cepep were prepared to go to the Privy Council on the matter.
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