.png)
NDP Gov’t costing taxpayers Billions; Global Water suit still outstanding!
![In 2006 when the NDP first took office [2003-2007], they signed two contracts with Global Water. The first contract was for a $2.68M no-bid deal for the company to design, build and install a sewerage treatment plant in Paraquita Bay on the main island of Tortola. The wastewater plant was to process 250,000 gallons of sewage a day. Photo: Internet Source](https://www.virginislandsnewsonline.com/cache/images/800x_h_howiswastewatermanaged.png)
Breach of Contract
In 2006 when the NDP first took office [2003-2007], they signed two contracts with Global Water. The first contract was for a $2.68M no-bid deal for the company to design, build and install a sewerage treatment plant in Paraquita Bay on the main island of Tortola. The wastewater plant was to process 250,000 gallons of sewage a day.
The other contract, which many said had a conflict of interest issue, was a 12 year operating agreement which would have paid Global Water $20 per thousand galls for treated waste.
However, before the NDP left office in 2007, Global Water—a foreign company with local interest—claimed that the Dr Smith led Administration had violated and breached both contracts and then took the government to court.
Millions lost in Lawsuit
According to court documents obtained by our news centre, Global Water in the claim wanted damages for some $22M for the breach of the two contracts, their Attorneys came from the Law Firm of O’Neal Webster.
In 2011, the NDP came back to power and in 2014 the matter went to a three-person arbitration panel that ruled, Global Water should only be compensated on the first contract for $2.68M.
However, Global Water under the NDP appealed that ruling and in 2016—in the Commercial Court—Justice Barry Leon ruled that the arbitration panel erred when it decided to only award damages for just one of the two contracts signed. Mr Leon noted both contracts were breached.
Government via the Attorney General’s Chambers appealed that decision of the Judge and won in 2018 at the OECS Court of Appeal. Now Global Water has filed an appeal to the Privy Council, which is the British Overseas Territory’s final court.
Taxpayers taking a hit
Many legal observers believe the VI Government will lose at the Privy Council, costing taxpayers Millions and Millions more, just like the loss to Delta Petroleum (Caribbean) Ltd.
Meanwhile, the Delta Petroleum claim is still pending after the same NDP regime lost at the Privy Council over an access dispute. Some say Delta’s claim could be well over 50 Million dollars.
According to critics of the NDP regime, the Government has cost the treasury now billions because of poor decision making and poor legal representation over the years 2011-2019.
.png)
Follow Us On
11 Responses to “NDP Gov’t costing taxpayers Billions; Global Water suit still outstanding!”
We did not hold them responsible so they allowed “greed” to take over
But the local proverb goes “ every rope got an end “ and “if you give he enough rope he will hang he self”
Boy “ if I hadda kno”