Seventy-Seven million Belize Dollars! That’s what the London Court of
International Arbitration says the Government of Belize owes Telemedia for damages.
That’s a lotta damage! And the London Court says that it’s all because
government failed to honor the 2005 Accommodation Agreement. Remember that,
one of the documents secretly signed by the Musa Administration?...well this
is the one that allows Telemedia to with-hold payments of its taxes until it
realizes earnings which amount to what was called a minimum rate of return.
That minimum rate was tied into assets Telemedia was made to buy so that the
Musa Administration could let Social Security off the hook for guaranteed Intelco
debts – which viewers know is a whole other story!
But back to tonight’s story, which is the $77 million government has
now been ordered to pay because Prime Minister Dean Barrow says he will not
honor Musa’s accommodation agreement. And that’s because as Barrow
says in today’s Amandala, the agreement is “immoral” and “shafts”
the people of Belize. A less explicit positions statement was put out by government
this afternoon which says first that the accommodation agreement is illegal
and invalid, and Belizean courts have rejected the position that the Agreement
can authorize Telemedia to not pay its taxes. Second, and this is the important
part – and we quote – “the government will not be bound
by any ruling of a foreign tribunal where that ruling conflicts with a position
taken by Belize’s superior courts.”
And third - again, we quote, “any award of damages made by the London
Court must be brought to Belize for enforcement by Belize’s Supreme Court
before it can have any practical effect.” It continues: “Government
is completely confident that it can successfully resist any attempt at local
enforcement.....We will defend the national position on national soil.”
It is of note that Government did not bother to make any defense before
the London Court because from the outset its plan was to wage all legal wars
in Belize.
But what is the official position of Telemedia? The telecom giant says it hopes
to move forward. Executive Chairman Dean Boyce told the company’s television
station Channel 5 last night that he expects government will recognize the merits
of the agreement - as being in, “the best interests of the country”
and expects that there will be a change in government’s outlook going
forward.
Not likely, from what we’ve seen. Government’s statement was issued
after that interview and says that “arrangements that are immoral,
made in secret and that defy our very democracy, will continue to be resisted
at all costs.” With all this said, barring some extraordinary intervention,
we expect that hostilities between Lord Ashcroft’s empire and the GOB
will now escalate sharply.