Govt hands Jearlean victory

FORMER Housing Development Corporation (HDC) managing director Jearlean John and nine others were accused of plunging the state agency into an abyss of corruption in an alleged $175 million land deal. But yesterday, a judge’s ruling blew the State’s first corruption case out of the water, when she struck out several orders to extend the time for serving John and the others, with the November 2016 lawsuit.

In an oral ruling, Justice Eleanor Donaldson-Honeywell four months after the lawsuit was filed by the HDC and the AG, was not enough. The other nine are Henckle Lall, former HDC chairman; Graig Davis, former deputy chairman; Peter Forde; Project Specialist Ltd; former commissioner of valuations Ronald Heeralal; Point Lisas Park Limited; Anthony Sampath, Patrick Soo Ting; and Everil Ross.

The legal proceedings were filed against the ten on November 2, 2016. John and the others, despite various attempts to have the claim served on them, only received service of the lawsuit in July 2017, more than four months outside the time stipulated by the Civil Proceedings Rules (CPR). The State had sought, and was granted, orders to extend the time for service of the legal action.

In its application for the extensions, the State argued that secrecy was necessary since, based on the forensic review and analysis of the basis for the lawsuit, there was a real likelihood that the defendants, if served with the proceedings, would take steps to dissipate, hide or remove their assets from the jurisdiction.

The claim against the ten alleged that an evaluator attached to the Commissioner of Valuations accepted a bribe to value the 50-acre property at $180 million, ignoring valuations provided by independent valuator Linden Scott, who valued the property at $52 million. In 2012, the land was bought for $175 million, giving the impression of a $5 million discount.

The judge also ordered the HDC to pay the costs of the striking-out applications of the ten, and said it was still entitled to refile the claim. In a immediate reaction to the judge’s ruling, John said the State’s case was simply a “mish-mash” and “cut and paste of rubbish” originated by malice by a PNM government that wanted to tarnish her name.

“They could not have won the matter,” she said. She defended the transaction, saying the HDC conducted itself properly and had been cleared by the Integrity Commission. “It was pure malice to have brought that matter,” she said. “Throwing me out on the road was not enough. Rather than be civil and tell me you don’t want to work with me, you chose to destroy my life and reputation by targeting me.”

She was also critical of Minister in the Office of the Prime Minister Stuart Young, Attorney General Faris Al-Rawi and Prime Minister Dr Keith Rowley. When the action was filed in 2016, Rowley, in a statement at a post-Cabinet press briefing in which he announced the court action, said the lawsuit was aimed at prosecuting those who stole taxpayers’ money, and the government had declared war on corruption.

The Attorney General said the lawsuit surrounded, “the core of corruption, unjust enrichment, breach of certain duties” and was “designed to tackle corruption, mismanagement and call on those persons to account for what they have done.” Contacted yesterday, Al-Rawi said the case would be re-filed as soon as possible.