Jamaica Gleaner
Published: Saturday | October 17, 2009
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Tufton defends payments to Hill - But contractor general serves investigation notice

From left, Tufton, Hill and Christie.

Nadisha Hunter, Gleaner Writer

Minister of Agriculture and Fisheries Christopher Tufton continues to defend the issue surrounding Government's multimillion-dollar contract with Aubyn Hill's consultancy firm to guide the sugar divestment process, even as Contractor General Greg Christie served notice to investigate.

The contractor general, in a release yesterday, said the allegations were of special interest to the office, precipitated by reports that approximately $27 million had already been paid out under the contract since July 2008.

Christie's interest was also spurred by Hill's position as the chairman of the board of directors of the Sugar Company of Jamaica (SCJ) Holdings, which holds the assets of the SCJ.

Payments reasonable

But yesterday, Tufton remained adamant that the money paid to Corporate Strategies Limited (CSL) over a 15-month period was reasonable when compared to similar engagement for other divestment exercises.

A similar sentiment was expressed on Thursday by Hill and Permanent Secretary in the Agriculture Ministry Donovan Stanberry.

"To spend $27 million in order to rid yourself as a taxpayer of paying $5 billion to secure the future of an industry that involves a few thousand workers is, to my mind, money well spent," Tufton told journalists at a press conference held at the ministry's office yesterday.

"The returns have been that the taxpayers have not been called on to subsidise the sugar-cane industry. In addition, the Government has gotten over J$200 million so far from the divestment of two of five estates," the minister noted.

Cane expansion

He added that the two already divested estates were engaged in cane expansion and would be more efficient and likely to engage more workers, which would be better for the communities in which they are located.

Tufton declared that had the Government not taken the route it did, there would either be an increased burden on taxpayers, or the industry would have to be shut down.

However, the Contractor General's Office disclosed that formal notice would be served to the agriculture ministry next week.

Earlier this week, it was made public that Hill's firm was being paid $1.833 million each month for assisting with the divestment of sugar factories.

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