Young: PP govt overpaid $9M for motor site

Minister in the Office of the Prime Minister Stuart Young alleged the People’s Partnership government had overpaid, by some $9 million, for a proposed site for a Motor Vehicle Authority access centre in Arima.

He was speaking at yesterday’s post-Cabinet news briefing at the Diplomatic Centre, St Ann’s. He alleged that under former transport minister Devant Maharaj, the site was bought for $27 million while the Commissioner of Valuations (CoV) had estimated its worth to be just $18 million.

Young cited a 2011 letter from the Ministry of Housing’s Property and Real Estate Services Division to the Ministry of Transport saying the property was not structurally sound, and asking if it was to be demolished or refurbished, which would help determine how much the State should buy it for.

He also alleged the vendor had been allowed to use the site rent-free for a year to continue to run his hardware business.

The letter, given to reporters, said the vendor’s asking price was $80 million, a private valuator had priced it at $31 million, and it remained unsold when advertised for sale at a price of eight per cent below the CoV’s valuation.

Maharaj yesterday denied any wrongdoing, telling Newsday he had documents to prove that everything was above board in that transaction. He said his lawyers would be writing to the AG’s Office on the matter.

Saying the Arima land was of small value compared to lands in Tobago to site the Sandals resort, Maharaj said Young must explain the procurement process used to allocate those Tobago lands. Likewise, Maharaj said, Young must explain the procurement of the ferries Ocean Flower II and Cabo Star, plus the certificate of environmental clearance for the Manzanilla highway which, Maharaj said, is deficient in many ways.

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