The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

The Bahamas was yesterday branded an “international laughing stock”, an outspoken QC suggesting that recent revelations of bribery involving a Bahamas Electricity Corporation (BEC) contract ove 13 years ago highlights the need for a Freedom of Information Act (FOIA).

Fred Smith, QC, the Callenders & Co attorney and partner, said it was “unacceptable” that evidence regarding bribery in the Bahamas had to first be disclosed in foreign jurisdictions. 

Mr Smith, the Save the Bays chairman, was referring to revelations that a French energy company paid more than $300,000 in bribes to win a BEC contract.

On Monday, a $772 million plea agreement, was struck between Alstom (formerly ABB) and the US Justice Department, during which it was revealed how the company covertly paid-off an unnamed Bahamian government “official” to win a bid to supply BEC with a generation unit more than a decade ago.

Court documents seen by Tribune Business revealed that the events mostly took place between 1999 and 2001, when the first Ingraham administration was in its second term in office.

The Alstom plea bargain revealed how the French energy company hid payments to Bahamian officials, routing them through an unidentified American consultant, who was “a close personal friend” of one person able to “influence” the awarding of BEC contracts.

Mr Smith charged: “It is unacceptable that evidence regarding bribery should be disclosed in foreign jurisdictions. Government corporations and their activities are still shrouded in secrecy.

“This again highlights the need for a Freedom of Information act in the Bahamas, which would in and of itself cause governments to be more accountable and transparent. When government corporations or the Government is in a fiduciary capacity to the Bahamian public, and their actions or inactions can be disclosed through a freedom of information process, then I guarantee that a lot of monkey business, shenanigans, corruption, inefficiency and negligence will not happen.”    

Mr Smith added: “The FOIA would be, in and of itself, be a public policing mechanism.  The fact that the activities of BEC are being exposed in other jurisdictions should be regarded as a matter of national shame and disgrace, when the information is not disclosable in the Bahamas.

“We call on the Government to stop pussy footing around with the preparation of a Freedom of Information Bill and not to wait until the 11th hour and 11th minute of their term of office two years hence to table the Bill.”

Mr Smith said it was ‘regrettable’ that the Bahamas continues to be seen as a  ‘corrupt and opportunistic nation’.

He added: “Our failure to be internally transparent casts a very negative public image shadow for the Bahamas internationally. Most nations have an FOIA. How is it that our nation, which sits on the doorstep of the biggest democracy, remains shrouded in government secrecy and bureaucracy. We are becoming an international laughing stock, politically and in the human rights arena.”

Rick Lowe, an executive with the Nassau Institute think-tank, had a similar view. “This just shows what seems to be the reason why they do not want a Freedom of Information Act, even though they use their coercive powers against the citizens and the business community all the time,” he said.

“Why should they be accountable when they don’t have to be? The whole VAT conversation proves that they don’t seem willing to live up to their advice to people. It’s just mass confusion. It’s quite discouraging. It’s a sad commentary on how our government hasn’t matured. We used to be a beacon but now we are almost a laughing stock.”