Jagdeo’s friend and business partner does not pay his fair share of VAT
Having more than doubled in worth in 2010, over the previous year, Queen’s Atlantic Investment
Dr Ranjisingi ‘Bobby’ Ramroop
Incorporated (QAII) headed by best friend of the former President Bharrat Jagdeo, Dr Ranjisingi ‘Bobby’ Ramroop paid a paltry $38,647 in Value Added Tax (VAT).This is according to the official Financial Statement of Expenditure for the company ending December 2010 and signed by Dr Ramroop. It also reflects that the company paid no VAT in 2009.
QAII is the Company that had received several tax concessions from the Government. The laws had to be changed to accommodate this company after it leased the Sanata Complex at Industrial Site under an umbrella of controversy. This complex was later sold to QAII for an undisclosed sum. Many believe that it was a sweetheart deal.
In 2009, according to the financial statements signed by Dr Ramroop, the group’s total assets stood at $3.6B. It skyrocketed to $7.9B in 2010.
In 2009 the company has in its Financial Statement of Expenditure, the sum of some $5.9M to pay rates and taxes.
The director’s fees and allowances however, both increased by almost $0.5M as did the monies allocated for the company’s donations.
In 2009 the company had allocated for donation $10.5M but by the following year the company’s money set aside for donations had increased to $17.5M.
The company’s total administrative expenditure for 2010 is recorded at some $222.9M up from $66.1M the previous year with employment costs and donations accounting for the bulk of the increase.
Dr Ramroop at the time of announcing the lease arrangement with the National Industrial and Commercial Investments Limited (NICIL) had intimated that he envisaged an overall investment of US$30M and the creation of 1200 jobs of which 600 new, permanent jobs would become a reality by the end of 2008.
The employment cost for QAII in 2009 is reflected in the company’s financial statements as $9.5M but by the following year the company reflected a $96.3M figure for employment costs.
QAII is said to be an investment company consisting of five subsidiary companies, namely: Global Printing and Graphics Inc.; Global Hardware Inc.; Global Textile (Guyana) Inc.; Health International Inc.; Healthcare Life Sciences Inc.
Queens Atlantic Investment Inc. was incorporated in Guyana in 1999 and is run by a board of directors.
Following invitations to lease the Complex along with some components of the dye factory it housed, the Government of Guyana in 2008 approved the privatization of the Sanata Textiles Complex (Sanata), Industrial Site, Georgetown to QAII for the purpose of establishing a multi-purpose investment complex.
NICIL’s Executive Director Winston Brassington and the Executive Chairman of QAII, Dr Ramroop, in a joint missive, had stated that the privatization of Sanata had taken the form of the issuance of a 99-year lease at a substantive rental of approximately $50M per year.
Rehabilitation and construction of the facilities which commenced in June 2007 were said to be phased over a three-year period.
Prior to this, $400M was spent on the removal of asbestos from the buildings by the Government before it was leased and subsequently sold to Dr Ramroop.