… M&CC owes company in excess of $25M
PURAN Brothers Disposal Services is currently contemplating withdrawing its garbage collection service in the city, as efforts to have dialogue with City Council officials on outstanding payments are proving futile.
An official from Puran Brothers yesterday told the Guyana Chronicle that the Georgetown Mayor and City Council (M&CC) owes in excess of $25M to the company for collecting garbage in Georgetown.
A payment, representing 50 percent of the amount owed, was made earlier this year, just before the company had decided to withdraw its services, the official disclosed.
“We can’t continue to work without payment, ” he said.
City Hall’s financial situation can now be deemed hopeless, even as government continues to render assistance to the trouble-prone municipality.
Meanwhile, City Treasurer Andrew Meredith reported at last Monday’s statutory meeting that garbage contractors have not been paid since last March. The outstanding amount, in total, stands between $68 and 70M.
According to Meredith, the council’s liabilities at the end of April amounted to more than $980M. In excess of $600M is attributed to the Guyana Power and Light (GPL) and over $200M for miscellaneous creditors.
At the end of June, Meredith continued, the council owed GPL close to $780M. Small contractors are also owed since last February in the vicinity of $12M, and $130M is outstanding on account of NIS and Pay as you Earn (PAYE).
Less than a year ago, City Hall failed to meet its deadline to garbage contractors resulting in the latter suspending their services across the city.