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Sunday, July 13, 2025

Minister queries Airports Authority's $205M debt write-off to CAL

by

KEVON FELMINE
11 days ago
20250702
Minister of Transport and Civil Aviation Eli Zakour after his  contribution to debate on the Prime Minister’s Pension (Amendment) Bill, 2025 in the Senate on Monday.

Minister of Transport and Civil Aviation Eli Zakour after his contribution to debate on the Prime Minister’s Pension (Amendment) Bill, 2025 in the Senate on Monday.

COURTESY:OFFICE OF THE PARLIAMENT

Even as the Air­ports Au­thor­i­ty of T&T (AATT) strug­gles to pay out­stand­ing wages and pay­ments owed to em­ploy­ees, it has writ­ten off a $205 mil­lion debt owed by Caribbean Air­lines (CAL).

Rais­ing the is­sue dur­ing Mon­day night’s Sen­ate de­bate on the Fi­nance (Sup­ple­men­tary Ap­pro­pri­a­tion) (Fi­nan­cial Year 2025) Bill, Min­is­ter of Trans­port and Civ­il Avi­a­tion Eli Za­k­our said de­spite this debt write-off, the au­thor­i­ty is now seek­ing a $45 mil­lion al­lo­ca­tion to meet re­cur­rent ex­pen­di­ture.

These funds are need­ed to set­tle ar­rears fol­low­ing re­cent wage ne­go­ti­a­tions with the Es­tate Po­lice As­so­ci­a­tion, which would ben­e­fit 444 cur­rent and for­mer em­ploy­ees.

How­ev­er, Za­k­our not­ed that the AATT can­not meet these oblig­a­tions from its own ac­count, due in large part to the write-off of the mas­sive CAL debt.

“The same Caribbean Air­lines, the pre­vi­ous, pre­vi­ous Min­is­ter of Fi­nance speaks so high­ly about. In my view, this was reck­less and ir­re­spon­si­ble, not to men­tion the $300 mil­lion dol­lars to ac­quire lands in To­ba­go for the new air­port even though State lands were al­ready avail­able near­by, rais­ing red flag about who re­al­ly ben­e­fit­ted,” Za­k­our said.

He claimed to have re­viewed a list of prop­er­ty own­ers in­volved in the To­ba­go land ac­qui­si­tion, stat­ing, “There are fa­mil­iar names.”

Za­k­our al­so al­leged that mil­lions of dol­lars were award­ed with­out any ten­der­ing, in­clud­ing for pri­vate se­cu­ri­ty ser­vices.

Ac­cord­ing to Za­k­our, the pre­vi­ous board had planned to pri­va­tise all air­port se­cu­ri­ty and had even ad­ver­tised ten­ders. How­ev­er, in­stead of award­ing a com­pre­hen­sive con­tract, the board al­leged­ly opt­ed to is­sue small­er con­tracts for spe­cif­ic ar­eas, in what Za­k­our de­scribed as a back­door ap­proach.

“But mul­ti­ple ten­ders for se­lect­ed ar­eas even­tu­al­ly, you would se­lect the whole air­port.”

He said the let­ters of ac­cep­tance for those ten­ders were dat­ed April 22, 2025, just one week be­fore the gen­er­al elec­tion.

Za­k­our al­so raised alarm over al­le­ga­tions of gross mis­man­age­ment, cor­rup­tion, and im­prop­er pro­cure­ment at the Ve­hi­cle Man­age­ment Cor­po­ra­tion (VM­COTT), even ac­cus­ing a for­mer chair­man of us­ing State re­sources to sell pies for his sis­ter’s busi­ness.

Za­k­our cit­ed a let­ter dat­ed April 10, 2023, ad­dressed to for­mer prime min­is­ter Dr Kei­th Row­ley and copied to sev­er­al se­nior of­fi­cials, in­clud­ing for­mer Trans­port Min­is­ter Ro­han Sinanan, Per­ma­nent Sec­re­tary Sonya Fran­cis-Year­wood, for­mer Po­lice Com­mis­sion­er Er­la Hare­wood-Christo­pher, and DPP Roger Gas­pard. The let­ter called for ur­gent in­ter­ven­tion and an in­de­pen­dent au­dit in­to VM­COTT.

He said the re­port out­lined cor­rup­tion, nepo­tism, mis­ap­pro­pri­a­tion of State funds and mul­ti­ple pro­cure­ment breach­es.

It al­leged that thou­sands were spent at PriceS­mart on al­co­hol, while an ex­ec­u­tive’s sis­ter be­came the sole sup­pli­er of food for all com­pa­ny events with­out a three-quote sys­tem in place.

“This let­ter, let me re­mind you, was sent to the prime min­is­ter at the time of the Re­pub­lic of Trinidad & To­ba­go,” Za­k­our said.

He said de­spite vir­tu­al board meet­ings, VM­COTT al­leged­ly spent thou­sands on month­ly cater­ing, which was de­liv­ered to and re­moved from the com­pound.

Za­k­our said the Gov­ern­ment was asked to in­ves­ti­gate claims that an ex­ec­u­tive lived at the VM­COTT com­pound.

He out­lined fur­ther fi­nan­cial mis­man­age­ment: un­paid VAT, mil­lions owed to NIB, BIR, WASA, T&TEC and oth­er cred­i­tors, and a $500,000 ve­hi­cle re­quest by the CEO de­spite the com­pa­ny’s fi­nan­cial strain. He al­so not­ed an $80,000 ve­hi­cle re­pair for a friend of an ex­ec­u­tive, for which VM­COTT nev­er re­couped the funds.

In an­oth­er case, the TTPS al­leged­ly over­paid VM­COTT by $17 mil­lion, which the com­pa­ny could not ac­count for. Za­k­our said $4 mil­lion worth of un­used parts were nev­er liq­ui­dat­ed—in­stead, $50,000 was spent on stor­age con­tain­ers to house them.

“Mr Speak­er, the list goes on and on re­gard­ing the cor­rup­tion I have seen in VM­COTT.”

Za­k­our added that VM­COTT is re­spon­si­ble for cer­ti­fy­ing pri­vate garages used by the TTPS, yet 18 garages ap­proved in 2022 were nev­er for­mal­ly cer­ti­fied. Still, po­lice ve­hi­cles were sent to these garages with­out prop­er over­sight.

“I’ll give you one ex­am­ple. One par­tic­u­lar garage charged $20,000 for a ser­vice which would have on­ly cost $7,000 at VM­COTT. In the last decade, $368 mil­lion was spent main­tain­ing po­lice ve­hi­cles. I am sure, based on what I have in front of me, tens of mil­lions of dol­lars have been wast­ed in the last decade.”

Re­spond­ing to ear­li­er ques­tions from In­de­pen­dent Sen­a­tor Dr De­siree Mur­ray on how the Gov­ern­ment would fund new ini­tia­tives, Za­k­our said elim­i­nat­ing cor­rup­tion was the first step.


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