Ramlogan made the comments as he announced that the airline will continue with its agreement with European manufacturer, ATR, to buy nine new planes at a cost of US$200 million. Ramlogan had hired British aviation John Dunne to report on the safety of the ATR planes.
"The deal, I am advised by the expert is a good one and good value for money," he said, noting that Dunne affirmed that the ATR aircraft have a good safety record. He said over 400 ATR aircraft are in service with 80 airlines worldwide and their safety record is no higher than an average rate, due to non-pilot error.
With respect to Warner's recommendation to buy the planes when there was no board at the airline, Ramlogan said the minister had legitimate safety concerns about the aging CAL fleet.
"Mr Warner at all material times did no wrong, but was acting in the public interest," he insisted, adding that the ATR deal that went to cabinet and was approved made good sense.
He said timely action was needed because "procrastination would simply have acted to the detriment of Caribbean Airlines,"
Ramlogan also acknowledged that the new CAL board had "legitimate concerns" since the previous board did not address the issue of safety in assessing the ATR deal. "The Chairman of Caribbean Airlines would have been well within his rights to flag this issue for consideration," the AG said.
"And as the Prime Minister said, this Government was not prepared to dig its heels in the ground but planned to listen, listen and listen and then lead."
Ramlogan stated that the previous board, led by Arthur Lok Jack, that operated during the Manning PNM administration arrived at the right decision but through the wrong process.
"The route by which they got there may be the subject of conjecture and criticism but there is nothing illegal with a board negotiating with a preferred manufacturer.
"And although in the interest of transparency that is not the way this government would have done it, we have to, in some cases, catch the ball in transition and not drop the baton and start back the race, when we have already run three legs and we have one more leg to run to the finish line. That cannot be in the best interest of the country," he said.
Ramlogan said the previous board did not keep proper records. "There is no audit trail to demonstrate how the previous board arrived at this particular decision...The minutes lacked the expected degree of vigour and candour that would have constituted a robust corporate memory," he said, citing Dunne as his source.
Ramlogan also revealed that he has a letter from Brunton stating that contrary to what the previous board said, ATR planes were selected by the board and that was the direction on which the board had intended to go. Brunton advised the Cabinet, through Warner, to complete the transaction.
Ramlogan said Brunton plans to move on after his dismissal as CAL CEO and that he would be adequately compensated and recognised for his long and loyal dedicated service to the country and the airline industry. He also complimented Warner and CAL Chairman George Nicholas for the cooperation they showed during the mediation process.
The AG also said the controversy generated by the CAL issue was a blessing in disguise for the government.
"I am happy that it came early in our administration and would now be a flagship and a beacon to guide all the ships in the public and state sector so we would not have a repeat...because the resolution will now send a resounding and sound message to all ministers and chairmen, so that they can work together in accordance with corporate governance best practice and procedure."
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