THE legal challenge regarding a loan agreement inked between the Inter-American Development Bank (IDB) and the Government of Guyana, which was advanced by A Partnership for National Unity (APNU) executive, Carl Greenidge was considered by Cabinet at its weekly meeting on Tuesday.And Cabinet Secretary, Dr. Roger Luncheon, contends that “Greenidge is barking up the wrong tree” in his attempt to prevent Government from accessing the funds available under the loan.

The IDB, in the latter part of February, approved two loan agreements for Guyana valued at US$32.16 (G$4.4B), one aimed at supporting Government’s security and the other aimed at supporting the country’s environmental initiatives.
The challenge seeks to have proceeds of the sums of money under the loan agreement between the Government of Guyana and the Inter-American Development Bank be paid into the Consolidated Fund and for those moneys not to be withdrawn without the authority of an Appropriation Act. It further seeks a Conservatory Order restraining the Minister of Finance from spending the proceeds of the said loan until the substantive matter is heard and determined.
The attempt to block the continuation of the current Administration’s developmental agenda, in the months before the May 11 Regional and General Elections, will not stymie the Government’s efforts, according to the Cabinet Secretary.
“He may be in the court a lot,” Dr. Luncheon said.
He stressed the fact that the Constitution and other legislative provisions pertaining to government spending in the months where there is no Appropriation Act (no budget) are clear.
The Cabinet Secretary added that these statutory provisions have not been breached.
Luncheon told reporters that Guyana as a developing country that depends on external financing from domestic and foreign partners – the more common partners being the International Development Bank (IDB), World Bank and the Caribbean Development Bank (CDB) and others.
He also pointed to the bilateral relations Guyana has with countries, including India and China, which support the nation’s development.
“Mr. Greenidge himself was involved with the donor community for the same purpose he is now taking the Government to court for,” Dr. Luncheon said.
Greenidge, represented by Attorney-at-Law, Roysdale Forde, maintains, however, the existence of constitutional grounds for his challenge.
The writ, detailing the challenge, cites Articles 1, 8, 50, 51, 56, 65, 103, 106, 110, 112, 112A, 216, 217 and 219 of Guyana’s Constitution. It also refers to Sections 16, 36 and 61 of the Fiscal Management and Accountability Act, Cap. 73:02.
Attorney-General and Minister of Legal Affairs, Anil Nandlall is the second defendant named in the matter.
April 1 has been the date scheduled for a hearing of the matter.

 
***pull quotes:
‘Mr. Greenidge himself was involved with the donor community for the same purpose he is now taking the government to court for’ – Dr Roger Luncheon