Caribbean Airlines' (CAL) chairman George Nicholas went ahead and negotiated a two-week extension on the finalisation of its Air Jamaica (AJ) deal without consulting the CAL board or the line minister. Nicholas, in an email on April 29 at 5 pm, to CAL's directors and management which was copied to line Minister Jack Warner and then acting prime minister Winston Dookeran stated: "We have today executed an extension as the Prime Minister (Kamla Persad-Bissessar) has negotiated with Prime Minister Golding for the extension of personnel provision agreement to now be signed on or before June 30, 2011."
Nicholas, the Guardian understands, did not consult with Warner, Dookeran or the CAL board on the matter but dealt with the Prime Minister directly. At the time, Persad-Bissessar headed a 40-member contingent to the World Economic Forum in Brazil. The Guardian understands that Nicholas' email was in response to an email sent to the Prime Minister by Warner. Warner's email, on April 29 at 3 pm, outlined CAL's position with respect to Air Jamaica and the urgent need to formalise the Shareholders' Agreement, which would end the Transitional Services Agreement and begins CAL's permanent acquisition of Air Jamaica. The deadline for the final agreement was April 30.
CAL has retained the right to terminate the arrangement without penalty until the final agreement is signed.
The Guardian understands that following his email, Nicholas and one of CAL's directors Gizelle Russell faxed this position to AJ chairman, Dennis Lalor. Warner, the Guardian understands, learnt of this decision in a copied email. The Works and Transport Minister had given the green light for the suspended, infighting board to meet to discuss the AJ deal. The board met on April 28, for an extraordinary meeting , at which it was agreed that a closing agreement would be signed. The board did not approve a supplemental agreement, which will now exist until May 16, to be negotiated or signed.
That decision, the Guardian understands, was the sole responsibility of Nicholas. "Instead of a response from the Prime Minister on this matter, everyone copied was treated to Nicholas' announcement. That was discourteous to the line Minister and to the acting Prime Minister. How could she (Persad-Bissessar) allow her Ministers to be treated like that," a senior CAL official told the Guardian. "The line Minister has been very disrespected. His decisions and recommendations aren't being considered. The chairman is by-passing him in matters and it's Jack's broad. How could the Prime Minister, with all the good will she has, consider this acceptable?" the official said. Nicholas' act has ired his board.
But it's not the first such step, he's made without his board's approval. The Guardian's understands that Nicholas' announcement, at the Air Jamaica re-branding in January, that CAL would fly to Heathrow was done without knowledge or consent by the board. "The man does not follow proper procedure in anything. From the way he chairs meetings to the decisions he makes. He's a law unto himself," the Guardian was told. The board's future rests on the Prime Minister. Persad-Bissessar has maintained that she's waiting on a report from the Finance and General Purposes Committee on CAL. Finance Minister and Leader of the Congress of the People, Winston Dookeran has written to the Prime Minister calling on her to dissolve the board.
The Guardian understands that Warner has appealed to AG Ramlogan, to "do whatever it takes" to disband the current board of directors of CAL. Nicholas did not answer four calls and a text-message from the Guardian yesterday.