Reconciliation on public accounts

RECONCILIATION refers to an accounting process of resolving inconsistencies. That such a process is badly needed in relation to this country’s books is confirmed by the latest report of Auditor General Jaiwantie Ramdass, which has again flagged billions in errors left over from the PNM administration.

But there is also a need for reconciliation in a wider sense given the contentious position taken by the Prime Minister as she spoke of the report in Parliament on June 13 and as she announced action to address a developing impasse with another independent officeholder: Central Bank Governor Alvin Hilaire.

“The Minister of Finance is instructed and advised to utilise section 52 to send in the Auditor General into the Central Bank,” Ms Persad-Bissessar said, referring to powers under the Central Bank Act. “Let’s find out where the money of the people of Trinidad and Tobago is.”

It was the latest salvo from a government that has traded barbs with the bank over audit oversight and the non-disclosure of forex information.

But has nothing been learned from Colm Imbert’s misadventure with Ms Ramdass?

From the PNM’s unlawful dismissal of governor Jwala Rambarran?

Mr Imbert’s 2024 fallout with Ms Ramdass – which culminated in one of the most embarrassing defeats at the Privy Council by a government; the judges did not even bother to hear the other side – precipitated his removal as minister of finance in the Stuart Young cabinet. All would do well to remember what was at stake then.

If the case of Jaiwantie Ramdass v the Minister of Finance concerned anything, it concerned the need for independent offices to be treated with proper sensitivity. The case hinged on the issue of leave, but relevant was the fact of Mr Imbert’s one-sided attempt to have probed a constitutional officeholder. The law lords observed ministers “are each under a statutory obligation to act fairly and impartially in exercising their public functions.”

The PM is completely correct to describe as embarrassing the fact that Ms Ramdass has, for a second year, been forced to issue a qualified opinion, this time, it seems, because of problems accessing systems managed by the Central Bank. Chilling is the auditor’s opening to her report: “I was unable to obtain sufficient appropriate audit evidence to form an opinion on the Public Accounts of the Republic of Trinidad and Tobago.”

But trust, once lost, is difficult to regain. This matter is not just embarrassing. It is dangerous.

Ms Persad-Bissessar should seek to cool the temperature and to restore confidence in the country’s financial accounting systems.

“Our plan now is to do better,” she said in Parliament on June 13. She should. A more conciliatory approach is required. Yes, the Central Bank is no sacred cow. But the government must not repeat history.