The Privy Council has reserved its decision in an appeal over whether a court can order compensation for an unpaid State contract if it (the contract) was approved by an unauthorised official.
At the end of a hearing in the United Kingdom Supreme Court building in London, England, yesterday, five Law Lords said they needed time to consider the appeal which was brought by the Office of the Attorney General against Trinsalvage Enterprises Limited.
The case centred around a $5.75 million contract awarded to Trinsalvage Enterprises Limited in 2000 for the development of the San Fernando Harbour.
The State contended that the contract was not valid as the then permanent secretary in the Ministry of Works and Transport did not have the authority to approve it as contracts valued over $1 million fall under the purview of the Central Tenders Board.
Delivering his initial judgment in January 2014, Seepersad agreed that the contract was null and void due to the permanent secretary overstepping her remit.
However, Justice Seepersad still ruled that the company was entitled to payment as the State had been unjustly enriched through the contract irregularity.
“Although the permanent secretary acted ultra vires the provisions of the Central Tenders Board Act in entering into the contract with the claimant, the work that was subsequently effected over an extended four-year period, in a public space that would have been under the control and charge of the State of T&T,” Justice Seepersad said.
As part of his judgment, Justice Seepersad ordered the parties to agree on an independent expert to assess the work performed by the company on the project and decide on the appropriate compensation for it.
In 2019, Appellate Judges Nolan Bereaux, Prakash Moosai, and Judith Jones dismissed an appeal from the AG’s Office and upheld Justice Seepersad’s decision.
The redevelopment of the area surrounding King’s Wharf, in San Fernando, has been proposed by several successive governments.
In 2019, Cabinet approved the $1.59 billion San Fernando Waterfront Redevelopment Project.
The initial phase includes the upgrade of the Plaza San Carlos Historical District, the reclaiming of 3.8 hectares of land at King’s Wharf and the relocation of the Public Transportation Service Corporation maintenance facility and squatters along the former Trinidad Government Railway line.
The company was represented by Ramesh Lawrence Maharaj, SC, and Michael Rooplal, while Thomas Roe, KC, led the legal team for the AG’s Office.
