NASSAU, BAHAMAS — Opposition Leader Philip Brave Davis yesterday accused the government of going to lengths to “hide deals” using the ongoing emergency powers, adding that the Bahamian people should be increasingly suspicious of the same.
The emergency powers give the competent authority wide-sweeping powers concerning civil liberties and ordinary processes, including government contracts.
“It is relevant, I think, to note here that since last March, he (the competent authority) has had the power to reward his political donors and insiders with pandemic-spending contracts without being transparent or accountable and without having to debate his choices in this House or defend his decisions to the public,” Davis said during debate on a resolution to extend the emergency orders until November 13.
“…The competent authority has so far refused to answer the simplest questions from the Bahamian public. Questions like who was paid, how much and for what. Millions borrowed in the name of the people. Don’t the people deserve an answer?
“Now this morning there is a new — but not surprising, you know — damning report from the auditor general regarding how the government used the proceeds from the emergency $250 million IMF (International Monetary Fund) loan.”
In the report, tabled in Parliament on Tuesday, Auditor General Terrance Bastian said the government did not disclose the names of the beneficial owners of companies that received payments for the delivery of goods and services related to COVID-19 despite requests.
According to the report, $63 million of the $250 million financing instrument was spent to pay overseas and domestic vendors
The auditor general noted there was no law that imposed the mandatory disclosure of beneficial ownership data on the government in this case, and there were no pending civil, criminal or international legal assistance procedures.
In Parliament, Davis asked: “Who really owns these companies?
“The concern is that shell companies are being used to hide the true owners.”
He added: “I don’t want anyone to get lost in the words of the technical details. It’s pretty simple in the end. The greater the lengths they go to hide their spending contracts, the more suspicious the public is and with good reason.
“And, Mr Speaker, in the middle of all these hidden deals, we can’t forget that the competent authority also used his emergency powers to create a travel visa that we didn’t need.”
Digital payment solution provider Kanoo, which has a three-year contract with the government, collects funds on behalf of the government via the health travel visa initiative and holds them in a Bank of The Bahamas account.
Minister of Social Services Frankie Campbell said: “To withhold the truth is just as bad as misleading. We also chose a digital wallet that is a number two on that side, Mr Speaker. Let him tell the whole story. We chose more than one digital wallet.”
There have been concerns in some quarters that the Minnis administration favored the company due to political ties and other competitors for the government’s DigiPay platform were squeezed out without an ability to bid.
Kanoo has said it welcomes a procurement process.