It's hard to tally how much the Novelo's debacle cost the public purse in total - but when the company buckled under 48 million dollars in debt in 2004, it left a long trail of debt, and the ghosts are still haunting the Social Security Board.
Apparently, the Novelo's group of companies had some social security arrears which totaled ninety three thousand eight hundred and twenty eight dollars ($93,828) spread across three companies, Novelo's, Belize Transit and Northern Transport.
SSB Chairman Doug Singh told us it was written off because the money was an uncollectible bad debt that was either statute barred or the companies did not have any securities from which to recover the arrears. He says judgments exist to enforce collection of the debt, but there was nothing there to get from the bankrupt companies. He said the decision was taken to write off these and debts of other companies but not to forgive those debts.
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