Petrotrin chairman: No deadline to appeal A&V ruling

Petrotrin chairman Michael Quamina says there is no deadline for the Petrotrin board to apply to the High Court for the arbitration ruling in favour of A&V Drilling to be set aside.

Quamina said the deadline mentioned by the UNC was set by Petrotrin’s lawyer.

“The lawyer said the board should move with alacrity in so far as the decision is concerned and suggested they should make a decision during the course of this week. But that is a suggestion made by the board’s own lawyer: there is no deadline to it as such.

“I am aware that the board is actively considering the next steps.

"I don’t think anyone can answer when the board is meeting, because there are certain things that are occurring at this point in time that they are waiting on information in relation to.”

Quamina was responding to statements by Opposition MP Saddam Hosein during a virtual media conference on Thursday.

Hosein said, according to advice from Petrotrin’s lawyer senior counsel Deborah Peake, Petrotrin should immediately move to have the order of the arbitration set aside and stay any further proceedings as a result of alleged misconduct on the part of the arbitration panel.

“According to the Arbitration Act, which regulates the proceedings of an arbitration, when you look at Section 19:2 of that act, it states, 'Where an arbitrator or umpire has misconducted himself or the proceedings, or an arbitration or award has been improperly procured, the court may set the award aside.'

"Further, Petrotrin was advised of the time sensitivity of that matter. They were told they should file their application to set aside the order to the High Court forthwith, by the week commencing June 21, which was this Monday, but the board will meet at the end of the week. Why is Petrotrin dragging its feet in challenging this award in favour of A&V Drilling?”

Hosein said the board of directors of Petrotrin has a fiduciary duty to seek the best interests of the company.

“They should have immediately summoned and considered the legal opinion of Ms Peake. They should have already given instructions to the lawyers to file that application with the High Court immediately.

"I want to remind the board members of Petrotrin that if you are in breach of this fiduciary duty, you can become personally liable for damages that flow from such a breach.

“The board of Petrotrin and the Minister of Energy must account for the sluggishness and reluctance of Petrotrin to immediately move to set aside the award to A&V Drilling after receiving sound legal advice since last week.

"This is a matter that will affect the country’s debt portfolio and that of Petrotrin, its assets and the related companies.”

Quamina said he had recused himself from the decision-making process with regard to A&V Drilling owing to allegations of conflict of interest from the Opposition.

“It’s a perception of a conflict of interest, because when I became the chairman, one of the allegations made by the same UNC was that because I was one of the personal lawyers for the Prime Minister, there was a possible conflict in so far as A&V is concerned.

"I want to make it clear I don’t accept that. But in order to avoid this type of confusion, I therefore decided that was the best course to adopt.”

Energy Minister Stuart Young, in a WhatsApp response to Newsday, said Petrotrin was being prudent, as he would expect.

“Petrotrin is doing exactly what I would expect any prudent and responsible entity should. It is seeking legal advice and opinions before taking next steps.

“The UNC’s mischief and obsession with AV Drilling needs to be noted very carefully.

“Question the UNC’s motive and exposure. There are many other court matters I would like to know the UNC’s views on, for example, the lawsuits against some of their members for corruption and the criminal matters against some of their frontline members.”