$23M for consultancy services in alleged SporTT scandal

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An audit being conducted into the Sport Company of Trinidad and Tobago (SporTT) has uncovered a $23 million contract for consultancy services for 83 projects. According to a report in the Sunday Guardian, the company that won the lucrative contract is Associated Services Ltd (ASL), owned by businessman Steve Rajpatty.

However the report quotes Rajpatty as calling the revelation “mischievous.”

And the paper said former SporTT chairman Gerard Ferreira has distanced himself from the matter.

“Under my term we did not have the type of staff that is being talked about now. I started SporTT from scratch; we did not have a project manager and it is misunderstanding that ASL on speculation was used to evaluate jobs for us," the Guardian quoted Ferreria as saying.

He said the estimates were sent to the ministry on the letterhead of ASL.

“We ran the SporTT company under the special policy under the Ministry of Finance as stipulated by the Prime Minister and Finance Minister. ASL was one of the few consultants hired by us. In one case they did eight or nine jobs. The project manger did not have a team at the time and sent the estimates on ASL’s letterhead and it was misunderstood that the contracts were given to ASL.”

Former Sports Minister, Gary Hunt is also staying far from the matter, saying only that he ordered an investigation to stop all irregularities from occurring.

“I did what was needed to be done. The information was brought to my attention and I acted,” Hunt declared.

The Guardian said it has seen records listing ASL as being selected "for design, tender document and project management on more than 40 occasions at sporting and recreational facilities in T&T."

It added, "The scope of work, on all other projects—43 more—according to the accounting records, have not been defined. The records, however, show that ten per cent consultancy fees were paid to ASL totalling $14, 232,579.98.

"Records further revealed that in some cases there was double payment for the same services on 15 projects. This amounted to payments in excess of $5 million. Among them is the controversial Brian Lara Recreational Grounds."

The Sunday Guardian added that it has learned that ASL forwarded numerous letters contending that SporTT is still owing the company more than $4 million.

It quoted a senior SporTT official as saying, “There are more questions than answers. If Sportt is really interested in cleaning up they have to start from the top. It is clear that the company was paying twice for the same job."

According to the Guardian, the official added, "ASL was originally hired to do project management services but then they were used for structural/mechanical engineering and quantity surveying...There are cases where there were payments and not even 50 per cent of the job was completed...It is totally scandalous.”

The Guardian said it interviewed Rajpatty who denied the allegations.

He told the paper, “We were client representatives. My company was never hired to do work at 83 sites. I am going to be honest and say you cannot possibly do everything right, but this is really, really shocking because reconciliation on accounts was done and it was agreed that an interim payment would be made and the balance will be paid.

“Even the former Prime Minister, Patrick Manning assured me that my company would be paid. What is this about?

“On the issue of double payment, SporTT need to implement a proper payment structure and start to use vouchers. They need to explain who is in possession of a $600,000 cheque before casting blame.”

The Guardian said the current Minister of Sports, Anil Roberts, is blaming the former administration. “It happened under the PNM. It was Dr Keith Rowley who said that some of the Special Purpose Companies in T&T were being run by mad people.

“The report was requested by former minister, Gary Hunt. The ASL issue is one of the many alarming situations at Sportt. We are investigating how this was allowed to happen.

“I am aware of the situation and we are hiring a new consultant to determine whether they owe us or we owe them. We are going to get to the bottom of this,” the paper quoted Roberts as saying.