The Tribune

By KHRISNA VIRGIL

Tribune Staff Reporter

kvirgil@tribunemedia.net

PARADIGM Construction, the contracting firm now at the centre of a controversy surrounding the fire-damaged BAMSI dorm, received a contract worth nearly $800,000 from the government to repair a structure at the Carmichael Road Detention Centre in 2013 despite apparent inconsistencies in National Insurance Board contribution payments.

According to documents obtained by this newspaper, the Ministry of Works issued a letter of intent to Paradigm to contract the company to carry out repairs on a male dorm at the Carmichael Road Detention Centre. The letter of intent (LOI) was dated August 2, 2013, and said the cost of the project would total $742,083.95.

Audley Hanna, Paradigm’s chief, responded on August 7, 2013, requesting a 10 per cent mobilisation payment in the amount of $74,208.40.

He also requested that $30,000 of the mobilisation payment be made out to the Royal Bank of Canada.

However, NIB documents from the time period raise questions about the consistency of Paradigm’s contribution payments.

In 2013, according to a NIB contribution listing, Mr Hanna failed to make any payments between January and July.

In August, which was the month that the contract for the dorm repairs was initiated, he made payments for four people, including himself. These payments totalled $656.60, the documents show.

The documents do not make clear how many employees Mr Hanna had employed at the time or whether he worked with a sub-contractor who could have hired additional workers.

However, in September and October in 2013, and January 2014, Mr Hanna’s payments were reduced to two people. This included himself and one other person.

The issue of Mr Hanna’s NIB contribution payments first came to light in the House of Assembly on Wednesday after Works Minister Philip “Brave” Davis admitted that he misinformed parliamentarians two weeks ago when he told them the dormitory damaged by fire on January 15 was not insured because its all risk policy had lapsed.

He backtracked on that statement on Wednesday, revealing that the building was never insured. Mr Davis also said the government never received a certificate of insurance, which was one of the stipulations for mobilisation and subsequent payments to be made to a signed contractor.

In the House, FNM Leader Dr Hubert Minnis suggested that Paradigm had not been consistent with NIB payments for employees. He said in view of this, a compliance letter issued by NIB on the contractor’s behalf raised questions about malfeasance.

During the House session, Dr Minnis said: “Our records would reflect that this same company, Paradigm, got a contract from the government in 2013 for $743 odd thousand, and they never kept the National Insurance payment for its staff.

“In fact, Mr Speaker, in September of 2013, only four members were paid for and immediately after that, only two members were paid for. We need to know how is it, that a (contractor) who did not pay National Insurance premiums for its workers, how is it that they could have received a compliance letter?

“And our records also reflect, again Mr Speaker, that in addition to that, he still has not paid National Insurance for staff members on this project, so the compliance letter needs to be investigated because there is some fraudulent activity going on in that department, Mr Speaker.”

However, Mr Davis accused the opposition of raising “red herrings”.

The FNM has called for police to investigate the apparent “fraudulent acts” allegedly committed during the construction of the male dormitory in North Andros.