NASSAU, BAHAMAS — Deputy Prime Minister Peter Turnquest and Sky Bahamas Principal Captain Randy Butler have been accused of defrauding a company of some $30 million via “bogus loans”, court documents obtained by Eyewitness News have revealed.
A writ filed by the law firm Scott & Co on November 16 lists Alpha Aviation Ltd. and Advanced Aviation Ltd as the first and second plaintiffs.
Randy Butler, Sky Bahamas Airlines Limited and Aviation Oversight Group Ltd are listed as defendants.
While Turnquest is not listed as a defendant in the matter, the court documents allege that he was a director and manager of Alpha Aviation Ltd and Advanced Aviation Ltd, while Sky Bahamas and Aviation Oversight were at all material times, owned, controlled and/or managed by Butler.
It is alleged that between 2008 and 2017, Butler, Turnquest and the Aviation Oversight Group conspired to defraud the plaintiffs and conceal such fraud and the proceeds thereof.
It is further alleged that at the end of December 2017, the defendants had caused Alpha to pay $20,680,337.33 to Sky Bahamas in each case by way of “some kind of bogus loan”.
Court documents allege that at the end of December 2017, the defendants had caused Advanced Aviation to pay via wire transfers $5,916,587.67 to Sky Bahamas.
It is further alleged that as of December 2017, the defendants had caused Alpha to pay $3,026,000.00 to themselves via a company controlled by AOG Maintenance Ltd.
The plaintiffs also claim that between February 2008 and July 2016, the defendants caused Alpha by some 36 fraudulent invoices and book entries to pay away to Aviation Oversight 37 cheques and to Sky Bahamas two cheques totaling $3,800,000.
The plaintiffs claim that Turnquest and Butler breached their fiduciary duties by failing to keep proper financial records, keep proper management accounts or ensure that adequate financial controls or systems were in place.
The plaintiffs also assert that Butler knew or must have known that monies were being paid away by Turnquest in breach of his fiduciary duties and dishonestly received by Sky Bahamas and Aviation oversight.