…accuses IMC of wasteful spending

THE Guyana Public Service Co-operative Credit Union Limited (GPSCCU) is hoping its disagreement with the Ministry of Social Protection on a $49M Audit and Supervision Fund be resolved as soon as possible.

With its 23rd Biennial Delegates Conference to be held on Wednesday at State House which President David Granger will be attending, the union is hoping that the opportunity will be presented for it to deliberate further on a way forward.
At a press conference hosted on Monday, GPSU President, Patrick Yarde, provided letters to show that the Union has been in communication with the President and the Social Protection Ministry on the matter.

In recapping the play of events which led up to this, he stated that following a 2017 reconciliation on the Union’s status with regards to the Audit and Supervision Fund years 2002-2013, the Department of Cooperatives found that there was an outstanding balance of $49,691,618. However, the Union contends that audits were conducted on the years in question and these were cleared as former Minister of Labour, Dr Nanda Gopaul, authorised the GPSCCU to “retain the audit and supervision funds” to meet certain costs.

These the GPSCCU listed as: “audit of its accounts by auditors approved by the Ministry; modernisation, including technological development; training and upgrading of staff; revision of organisational structure and improving membership services.”

However, the Union stated that the Ministry nonetheless requests that the Union recover the Audit and Supervision Fund amounts retroactively. The Union remains adamant against doing such and has promised protests and possible legal action.

Added to this, the GPSCCU has also accused the Interim Management Committee (IMC) — established over concerns of poor performance by the now defunct management committee — of “siphoning off” at least $52M. This, it noted, was through overpayment of salaries, dishonest overtime claimed for, contracts awarded to friends and affiliates bypassing the proper procurement process, unjustified payment of bonus and gratuity to members of staff and more.

The Union is also displeased that no permits have been granted for them to hold an Annual General Meeting to discuss the issue and that correspondence on the matter of Fund came from the Ministry of Social Protection when the President indicated that such would come from the Ministry of Public Service.
“This is a matter for discussion at our Biennial Delegates Conference,” Yarde said.
“Since our Biennial Delegates Conference is so close, we have decided to extend the courtesy and respect for our highest forum of meeting for their blessing that we proceed with legal action.”

Speaking with the newspaper on Monday, both Ministers of Social Protection Amna Ally and Keith Scott stated that the Ministry is within its right to correspond with the Union. “We are the responsible body for the Credit Unions. We are the ones who are responsible for any letter that has been sent to us. We cannot determine what the President would want to do because that’s the President’s prerogative but what happens is that when something comes on our desk, within our ambit we have to respond,” Minister Scott said.

Likewise, Ally reminded that Minister Scott acted rightly as he is the head of the Department of Labour. Minister of Public Service, Tabitha Sarabo-Halley also told the newspaper that, as the President has indicated, her Ministry will address the matter stating “we’re in the process of doing so”.
For his part Minister Scott told the newspaper that the GPSCCU will see an Annual General Meeting being held soon as the audit report of 2018 has been received and soon the IMC and the Chief Co-operatives Development Officer (CCDO) will name a date.

“The audits have been taking place, [there was] the last audit in 2017 and we’re finished with 2018 and the next step now is for the Management to come together and see what is the appropriate date for an Annual General Meeting,” he said.

Regarding the accusations against the IMC, Minister Scott defended that the IMC was doing the job it was set up to do and has an “open-book” for anyone who wishes to question same. “We have installed an Interim Management Committee which is still in place and they have gone about managing the affairs of the [Union] and, so far, the opinion of the CCDO, she has expressed satisfaction with their performance,” Scott stated.

Minister Ally added: “We have done what we supposed to do.”

While the GPSCCU mulls protest, Ally stated, “anything can be solved by having talks”.