The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

THE Water & Sewerage Corporation yesterday sacked Glen Laville as its general manager in the wake of the Ernst & Young (EY) forensic audit’s findings.

Tribune Business sources said the move came following Board meetings at the Corporation on Tuesday night and yesterday morning, with at least one attended by Mr Laville. Adrian Gibson, the Corporation’s executive chairman, confirmed the termination when contacted by this newspaper late yesterday. “The Board of the Water & Sewerage Corporation has unanimously decided to terminate the services of Glen Laville as general manager with immediate effect,” he said.

Mr Gibson declined to comment further, and Mr Laville did not return a voice mail seeking comment, even though his voice was heard on the recording giving March 14 as the date.

Tribune Business understands that a number of Water & Sewerage Corporation Board directors met with Mr Laville in a bid to follow “due process”, and inform of his fate, which was sealed by the EY findings.

This newspaper was told that more persons could be dismissed in Mr Laville’s wake, with a note to Water & Sewerage Corporation staff from Mr Gibson revealing that Elwood Donaldson, senior assistant general manager, replacing him as acting general manager.

Mr Laville’s firing is the first tangible action in the fall-out from the EY report, which disclosed how too much politically-motivated interference and the ‘friends, family and connections’ network had undermined basic corporate governance and established protocols.

This resulted in multi-million dollar losses and cost overruns that, ultimately, have to be covered by Bahamian taxpayers.

Mr Laville, speaking previously to The Tribune on the EY report, disputed numerous findings against him while arguing that the report’s disclosure had caused morale at the Water & Sewerage Corporation to plummet.

EY’s investigators found that Mario Bastian, a “close friend” of Mr Laville, secured a $3.2 million contract with the Corporation despite being fired twice. The auditors concluded that the tendering process for the contract gave the appearance of bid manipulation, and noted that the company, ACO JV, was awarded the contract despite displaying characteristics that had disqualified other potential vendors.

Mr Laville said he lacks the power to ensure anyone is awarded such a contract, noting that such decisions are made by the Cabinet after input by Water & Sewerage Corporation’s board.

He added that the contract was approved by the Caribbean Development Bank (CDB) as well, although EY’s report showed the CDB rarely dissents when government officials recommend someone to receive a contract.

Mr Laville also questioned the relevance of a communication highlighted in the report between him and Dave Taylor, a surveyor who performs services for Water & Sewerage Corporation as a sub-contractor.

In the correspondence, Mr Taylor wrote to Mr Laville: “Can I stop in to drop off the cash to you now?”

Mr Laville told investigators the message referred to membership dues for the Bahamas Association of Land Surveyors, for which he is treasurer.

EY, however, said Mr Laville provided no documentation supporting that the money was deposited in BALS’ bank account.

Mr Laville said: “I advised that going to the bank to deposit $100 doesn’t make any sense. I don’t go to the bank and deposit it every time I get a membership due. Furthermore, it was just $100, to even raise it as an issue…

“I admonished the auditors not to make conclusions and seek information to support it. By the inference that somehow this was an improper activity or whatever, in this small country, it would call into question any time anyone anywhere brought me membership dues.”