Business cartoon on Barama

http://www.stabroeknews.com/index.pl/article?id=56522008

Business Cartoon
Stabroek News
Friday, June 8th 2007

Level of support for Iwokrama not yet quantified - Glover

http://www.stabroeknews.com/index.pl/article?id=56523162

Level of support for Iwokrama not yet quantified - Glover
Sunday Stabroek, June 24th 2007

Edward Glover

The level of business support for the Iwokrama Rainforest Programme
following a reception hosted on Friday night by Patron the Prince of
Wales at his London residence, is yet to be quantified, according to
the Chairman of the Iwokrama Board of Trustees Edward Glover.

Glover told Stabroek News by email yesterday that, "It is not yet
possible to quantify the level of business support so far received, as
it has involved not only sponsorship but practical assistance and
expertise. Moreover, the process is continuing."

He went on to say, "We will be making a statement early next week about
the recent events in London, including The Prince of Wales's reception
yesterday [Friday], and the way forward in certain areas of Iwokrama's
activity."

The chairman reported that the event had been attended by, among
others, Commonwealth Secretary General Don McKinnon; Baroness Valerie
Amos, the Leader of the House of Lords; representatives from HSBC - one
of the largest banking and financial institutions in the world ; Carbon
Capital; IFP; Triumph Group Inc; Shell International; KPMG
Inter-national; Climate Change Capital; Tate and Lyle; Caribbean
Airlines; Environ-mental Resource Manage-ment; the UK Department for
International Development; ABN-AMRO - a holding company with
subsidiaries involved in investment and commercial banking; the World
Wildlife Fund (WWF)-UK; Flora and Fauna International and the Foreign
and Commonwealth Office.

Glover is a former United Kingdom High Commis-sioner to Guyana,

It was reported that the purpose of the event was to highlight Iwokrama
and the progress of its 2006-2010 business plan and beyond.

Guyana was represented at the meeting by Minister of Amerindian Affairs
Carolyn Rodrigues, Guyana's High Commissioner to London Laleshwar Singh
and Sydney Allicock, representing local communities tied to Iwokrama.

Iwokrama, which covers an area of nearly one million acres (371,000
hectares), has its origins in an offer from the late President Desmond
Hoyte to the Commonwealth Heads of Government Meeting in Malaysia in
1989. It came into full operation in 1996 following an agreement the
year before between the Commonwealth and the Government of Guyana.

The programme has suffered from funding difficulties in more recent
times.

Those who demand a total ban on log exports fail to understand the market

http://www.stabroeknews.com/index.pl/article?id=56523194

Those who demand a total ban on log exports fail to understand the
market
Sunday Stabroek, June 24th 2007

Dear Editor,

The Forest Products Association (FPA) is pleased to respond to a letter
published in the Stabroek News on June 14, 2007, by Mr. Mahadeo
Kowlessar headlined "Better log-to-lumber conversion rates can be
achieved with appropriate equipment."

Mr. Kowlessar's letter simply underlines and reinforces the appeal made
by the FPA for government to take a balanced approach in arriving at a
national policy to govern and direct the sustenance and development of
the forest industry based on an informed review of the industry relying
on credible research and dependable data.

Demands such as Mr. Kowlessar's on our government to impose
indiscriminate restrictions, or worse, an overnight ban on exporting
logs, based on unrealistic and theoretical assessments of our industry,
in pursuit of "maximizing net social benefit" will have entirely the
opposite effect and could very quickly destroy the industry.

Mr. Kowlessar, in fact, endorses the very point made by the Association
in our statement that "adding value to the industry by restricting the
export of logs for processing into sawn lumber and for downstream
processing is valid only when it can be established that there is
sufficient milling capacity" in place, when he describes the current
milling capacity as "decrepit and unprofitable." He confirms the FPA's
own position that the "majority of mills are technologically outdated
and many are inoperable and beyond economic rehabilitation."

Impose, therefore, an overnight ban on exporting primary product and
there would be immediately, as we have stated, "insufficient milling
capacity and, indeed, "processing demand" to absorb the current, never
mind any expanding production of logs. The effect: curtailment of
production, withdrawal of investment, loss of income, reduction of
employment, net value subtracted, minimized social benefit.

The FPA has long advised the Guyana Forestry Commission (GFC) that its
members support adding value to the industry by converting from
reliance on the export of primary product to the export of processed
and manufactured product. Always providing, however, that there is a
commensurate return to the producer, whose investment is at risk, and
that sufficient incentives are in place to encourage the substantial
investment that this would involve.

Mr. Kowlessar argues that "recovery rates can be improved with more
appropriate equipment" and advocates the use of "lighter, cheaper,
mobile band saw mills." Perhaps, but that is yet to be established. It
remains highly debatable whether portable mills can be a direct
alternative replacement for the older mills.

While it is true that portable mills are cheaper, they do not have the
capability of cutting bigger sized baulks and longer lengths of lumber
produced by band and gang mills. Guyana's production must respond to
global commercial market forces and preferences. Established markets
like Korea and Japan, for instance, purchase generally better grades of
sawn lumber milled by band and gang saws.

The average recovery rate of 40% is inclusive of prime, select,
standard and merchantable grades and is taken from records kept over
many years by our members who are producers and saw millers, who
understand the processing business and the requirements for complying
with market criteria.

Saw milling rate recovery is, we know, an extremely subjective
business. It depends on the quality of log inputs that is, the saw mill
grade of the log input. It depends on the market criteria. Export grade
of sawn timber will not accept sapwood, ring shakes, knots, soft heart,
end splits and trimming loss of log lengths.

The requirement, therefore, for high quality contributes to lower
recovery rates.

The FPA's members have years of experience in the industry. We know
that market preferences such as species and specification of grades,
sizes and lengths and reliability of supplies dictate saw milling
equipment choices and influence recovery rates.

We understand Mr. Mendes's promotion of mobile mills. He sells them.
Market demonstrations, using ideal logs can and will produce higher
recovery rates, but the bottom line for recovery in the industry is
determined by the commercial specifications of the product and large
scale log input quality, very different demands to a sales promotion
exercise.

Importing countries like China and India achieve higher recovery rates
than the norm in Guyana due to their recovery of "fall down" sizes and
the grades acceptable for processed lumber used by "cottage
industries". They are able to utilize the sawn products for mainly
local markets with lower quality demand. Guyana does not have "cottage
industries" creating this kind of market, so statistical comparisons
have little bearing on industry realities in Guyana.

Again Mr. Kowlessar, quite erroneously, compares Purpleheart with the
merbau timber of Malaysia.

The reliable supply of merbau is well established in the global market
place and differs appreciably from Purpleheart in a number of
specification aspects. While Purpleheart is gradually gaining
acceptance, its availability globally is yet to be established.

Mr. Kowlessar is quick to climb on the hobby horse of the industry
critics that FPA members "landlord their concessions to foreign
loggers." Partnerships between large concession holders and smaller
local producers are perfectly legal, are approved by the GFC.

These partnerships make eminent business sense where the synergy of
large and small companies holding different resources pool their assets
to work together to create employment and generate revenue for the
country. These partnerships are approved for fixed and limited periods
and expire when the local partner develops sufficient management
capacity and financial strength to make full use of their resources.

We repeat that the advocates of imposing a total ban on log exports
have not considered the facts of the industry, fail to understand the
market, continuously resort to theory rather than practice in assessing
recovery rates for sawn lumber and miscalculate income projections from
export. Any policy so developed will result in disabling the industry.

The FPA speaks for those in the industry whose investment is at risk,
for the producers and millers who are the major stakeholders. There is
nothing which prevents those who so readily criticise and who believe
they have the answer to the challenges which face the industry, from
themselves investing and doing it better.

The FPA welcomes constructive criticism, new investors and new and
practical ideas. It is the armchair critics that do our country harm.

Yours faithfully,

Forest Products Association

Two illegal furniture manufacturers at Lusignan plaguing our lives

http://www.stabroeknews.com/index.pl/article?id=56523233

Two illegal furniture manufacturers at Lusignan plaguing our lives
Monday, June 25th 2007

Dear Editor,

We the residents of Lusignan West, West Coast Demerara wish to express
our dissatisfaction at the manner in which the EPA is handling our
complaints concerning dust and noise nuisances emanating from two
illegal furniture manufacturers in our area.

We expressed our grievances to the EPA on Decem-ber 5, 2006. They
responded by an inspection and by letter dated January 24, 2007 stating
that our complaint was valid and had promised to do a follow-up
inspection.

A follow-up inspection was done on April 24, 2007 and the EPA by letter
dated May 16, 2007, states that some measures were implemented to abate
noise and dust pollution. Based on some measures implemented by these
businesses the EPA has granted an extension of two months so that they
can implement all measures to mitigate dust and noise impacts.

We feel that this extension is unjustified because no measures were
taken to mitigate such nuisances. We are asking these EPA officials to
spend one day next to these workshops and they would know what we are
going through.

We are fed up with this ongoing situation and would like to ask the
Honourable Minister of Home Affairs who is on a campaign against noise
nuisances to look into this matter.

Yours faithfully,

(name and address

provided)

Editor's note

We are sending a copy of this letter to the Minister of Home Affairs,
Mr Clement Rohee, for any comments he may wish to make.

Amerindians must seek a broader unity, don't sign documents readily - remember Chief Sitting Bull

http://www.stabroeknews.com/index.pl/article?id=56522985

Amerindians must seek a broader unity, don't sign documents readily -
remember Chief Sitting Bull
Stabroek News,
Friday, June 22nd 2007

Dear Editor,

I do not want to be tangled among the Amerindian groups who are said to
be representing us in the issue of the Barama/Akawini village.

However in 1994 I attended the "Ameriang" conference at the President's
College where representatives of the villages gathered to voice their
concerns and plan for the future. This conference was oragnized by the
Amerindian Research Unit, University of Guyana. In that conference I
was given fifteen minutues to share my ideas to the gathering.

My idea was/is unity of the Amerindian peoples since I do not only
believe in the ideal of "Unity is Strength" but I grew up witnessing
the effective of working together as one village. There were fun, hard
work, sharing, growth and togetherness. The "more the merrier" (many
Amerindian organisations) may appeal to other people but in my view
amounts to fragmentation.

I shared an organizational structure very similar to that of our
current regional system - out of the village councils, district
councils would be formed, the regional council from the District
Councils and all levels would vote their national body (this is where
all those who would like to represent Amerindians would be available
for nomination/ vote). In this way, in my view, we would have a strong
and unified structured organization that would last for generations.
Also under this structure we will gather all our human resources
(talented/ educated/professional Amer-indians) and be stronger in unity
to monitor/advise our village councils' activities. I did mention
having a lawyer at the national level who can advise on legal matters
at the 'Ameriang" conference. I guess the Great Spirit heard my 'cry in
the wilderness' and made Mr. David James available to read law.

Akawini Village Toushau David Wilson mentioned in his letter captioned
"Barama was paying us a pittance in royalties, we plan to start our own
forestry operation" (07.06.20) that his village council signed the
contract "under pressure". With my organisational structure no village
will be forced to signed any contract/document under pressure because
there would be consultation/s among several levels of
authorities/bodies of Amer-indians before coming to a conclusion.

Just last week I was literally crying whilst looking at a movie - Bury
my heart at Wounded Knee- about Native American Indian Chief - Sitting
Bull - where it showed how he signed a document regarding his people's
land. His mere touching of the pen held by a 'lettered' American
official was his (Sitting Bull) signature.

I advise that we villagers examine any contract/s/document/s/foreign
businesses organization/s who wish to operate in our reservations
thoroughly and consider the effects it will have on our future
generations. There should also be consultation among the villagers
because they voted for the village council and must be unanimous on the
part of the village. Since the village council does not operate on its
own it should consult the Amerin-dian Ministry for advice before coming
to a final decision.

Let us not sign any document because it can fulfil our immediate needs.

Yours faithfully,

Guy Marco

Prince Charles holds global meet on Iwokrama tomorrow - Looks to secure funding

http://www.guyanachronicle.com/topstory.html#Anchor-Princ-48839

Prince Charles holds global meet on Iwokrama tomorrow
- Looks to secure funding
By Neil Marks
Guyana Chronicle, 21 June 2007

THE Prince of Wales is hosting a reception for Iwokrama tomorrow at his
London residence, Clarence House, and has invited some of the world’s
largest companies in efforts to secure new commitment in helping the
cause of the global forest conservation initiative.

Guyana is being represented at the meeting by Minister of Amerindian
Affairs Carolyn Rodrigues, Guyana’s High Commissioner to London
Laleshwar Singh and Sydney Allicock, representing local communities
tied to Iwokrama.

The leader of the House of Lords, Guyanese-born Baroness Amos, will
also be present.

Chairman of the Iwokrama Board of Trustees Mr. Edward Glover, told the
Guyana Chronicle the purpose of the event is to highlight Iwokrama and
the progress of its 2006-10 business plan and beyond, “to thank those
who have already given support and to encourage those yet to commit to
do so.”

One of the key challenges for Iwokrama, which is stepping up its role
in the global climate change debate through its experiment with the one
million hectare forest in Guyana in showing how forest resources can
bring benefits without destruction, is getting money to fund its
operations.

Prince Charles is the patron of Iwokrama, and for tomorrow’s gala at
his house, he has invited some of the world’s biggest companies who
show corporate responsibility with a particular focus on the
environment to his home.

Among those invited are senior representatives from: HSBC, one of the
largest banking and financial services organisations in the world,
which recently announced a US$100M programme to combat climate change
worldwide; KPMG International, a global network of professional firms
providing audit, tax, and advisory services; Shell International, a
worldwide group of oil, gas and petrochemical companies which claims to
help meet global energy demand in economically, environmentally and
socially responsible ways; and Environmental Resources Management (ERM)
one of the world's largest environmental management consultancies.

Others include: Carbon Capital, which has raised investments of more
than 300 million Pounds Sterling, and has established a series of
Carbon Trading Partnerships which fund reforestation and renewable
energy projects in the developing world; Climate Change Capital, a
leading investment banking group specialising in the commercial
opportunities created by a low carbon economy: Acclimatise UK, a
specialist risk management company providing expertise in dealing with
climate risks; Tate and Lyle, a world leader in renewable ingredients
and leader in cereal sweeteners and starches, sugar refining, value
added food and industrial ingredients and citric acid; Caribbean
Airlines, leading Caribbean airline connecting with Guyana; and Marks
and Spencer, a global retailer based in the UK which recently announced
it has developed a range of schoolwear made from recycled plastic
bottles.

Also in attendance will be senior representatives of the UK arm of the
World Wildlife Fund and Flora and Fauna International.

In a recent interview, Glover, a former United Kingdom High
Commissioner to Guyana, said Iwokrama has been hidden from the people
of Guyana and the rest of the world for too long.

Glover is in his last year as chairman of the international Board of
Trustees that manages the Iwokrama Centre, which aims to demonstrate
that money can be made from forests, without destroying them.

He noted that Iwokrama’s Trustees, particularly those in London, have
been working hard to secure sponsorship and support from major UK
companies which are committed to corporate social responsibility with
an emphasis on climate change.

By the end of the year, the establishment of a climate change
monitoring unit will commence at Iwokrama’s management centre at
Kurupukari, thanks to the good offices of University of New Castle.

The concept of Iwokrama was born in 1989, when Guyana said it wanted to
make available to the Commonwealth an area of land to carry out the
fundamental experiment to determine if tropical rainforests, vital to
life continuity on earth, can be conserved, but at the same time
utilised to the benefit of people. The timber harvesting project is one
of the means by which Iwokrama hopes to achieve financial
sustainability by 2010.

A five year business plan (2006-10) will hopefully see the centre being
able to chalk up the US$600,000 it needs to meet operational costs.

The Iwokrama Centre came into operation in 1996 on the basis of an
agreement between the Commonwealth and Government of Guyana, and after
it was included in the Laws of Guyana, the agreement paved the way for
the establishment of an international board of trustees to manage the
nearly one million acre (371,000 hectares) rainforest.

Glover said that in the past, Iwokrama lacked the expertise in
marketing, and remained “in the jungle”, hidden from Guyana and the
world over.

Now, however, through arrangements with UK companies Glover would only
at this time call “big”, that will hopefully change, and there will be
“well packaged” initiatives to sell Iwokrama.

Barama was paying us a pittance in royalties, we plan to start our own forestry operation

http://www.stabroeknews.com/index.pl/article?id=56522925

Barama was paying us a pittance in royalties, we plan to start our own
forestry operation
Stabroek News,
Thursday, June 21st 2007

Dear Editor,

In response to Peter Persaud's recent letters in the Stabroek News on
Akawini and Barama, I would like to clarify his own role in the affair
from the village council perspective.

His claim that the village council is losing millions is misleading.
Any royalties that the council received from Barama were dwarfed by the
profits that the company was making out of us. For example, for a
purpleheart log the community under the agreement would receive
approximately $2,000 in royalties. Before Barama came, we could sell
the same log for $300,000. Only God knows what Barama is selling these
logs for on the export market. Besides, what amount of money can make
up for the destruction they have caused in our community? In the light
of what has happened, the council has started work on a proposal to
start up our own sustainable forestry operation.

For your information Mr Persaud the APA was the only organization that
listened to our pleas for help when the situation with IWPI and Barama
became unbearable. We would like to ask Mr Persaud, with whom was the
decision to kick Barama out "unpopular" because at the village meeting,
the community voted unanimously to take this action and he was there to
see it for himself.

Mr Persaud did indeed claim that he was an Amerindian representative
when, under pressure, we signed the first contract, despite what he
claims now. He mentioned to the village that he was from TAAMOG and
that the contract was in the best interests of the community.

By his own admission, this contract was later sent back to the Minister
of Amerindian Affairs for amendments because it didn't have the
community's best interest at heart.

Rather than being at a crossroads of doom as Mr Persaud claims, the
community feels that our future is once again in our hands. Moreover,
who are you Mr Peter Persaud to use the word "doom" to the Akawini
village council when you were one of the co-conspirators who fooled us
into signing a contract that would indeed have spelled our doom.

Yours faithfully

David Wilson

Toshao,

Akawini Village

Guyana's tax laws and reporting requirements should determine multinational accounting for gains and losses

http://www.stabroeknews.com/index.pl/article?id=56522797

Guyana's tax laws and reporting requirements should determine
multinational accounting for gains and losses
Stabroek News
Tuesday, June 19th 2007

Dear Editor,

After reading Christopher Ram's article in Stabroek Business captioned
'DDL - A Reality Review' (2007-06-08) and R. Vansluytman's response in
a letter captioned 'Mr. Ram's Reality Review of DDL's accounts left
something to be desired' (07.06.08), I am convinced that the Guyana
Revenue Authority would have a challenge to reconcile financial and tax
accounting treatment of the tangled amounts of multinational
transactions in order to determine the true tax liability of DDL. It is
clear that from either a financial or tax accounting standpoint a high
standard and quality of reporting to the taxing authorities and the
Guyana Securities Council would be needed to serve shareholders' and
new investors', as well as government's, interests in a uniform, as
well as timely and reliable way.

Uniformity in reporting multiple entity, parent and subsidiary
transactions should be scheduled for both interim and final audited
statements for tax diligence and the public audit functions.

Published reporting standards for each class of transaction should be
identified by taxable income source (tax base), and the applicable tax
rate. In the interest of transparency and better governance, public
information gaps should be bridged. A public asset-ownership register
for intangible assets, such as trademarks and goodwill and tangible
assets, including a land register (the promised 'cadastral') should be
made available through the Guyana Securities Council or other
government agency. Book values and ownership and transfers of ownership
registers should be reported as benchmarks.

The range of transactions reported in both articles covering DDL
parent, its subsidiaries and their relationships include: Operating
profits ($1.984 billion), BEV Processors Inc. ($1/4 billion turn-around
in after-tax profits), National Rums of Jamaica ($1/4 billion loss
turnaround to $53 million profits), Trade Mark asset capital recovery
(2007-06-08, paragraph 9), Overseas Expenses and allocation issues
(2007-06-08, paragraph 10), Decipher and Solutions subsidiary (sale for
$3 million, asset cost and cost of sale not reported in both articles),
Parent plus subsidiaries with share of profits in 'associated company'
(41.938 million). The tax consequences of these transactions should
have a clear path in order for the company and the shareholders to pay
and the government to receive its share of taxes based on a correct
assessment of taxable income. Ram's article appears to deal with two
areas (1) financial reporting issues related to a timetable for
reporting and definitional issues of parent versus subsidiaries net
profit and (2) the assignment of income and the allocation of ordinary
and necessary current and capitalized expenses. It is in the second
area that I share his concern and would seek guidance from more
experienced counties' tax code, such as the USA in dealing with
multinational entities and their transactions.

Section US Internal Revenue Code (IRC) 482: The purpose of IRC section
482 is to ensure taxpayers clearly reflect income attributable to
controlled transactions and to prevent avoidance of taxes regarding
such transactions. IRC section 482 places a controlled taxpayer on a
tax parity with an uncontrolled taxpayer by determining true taxable
income.

To accomplish tax parity also with resident and non-resident firms, the
Tax Commissioner may allocate items of income or expense among
controlled taxpayers. These practices on internal adjustments following
public disclosure requirements and standards should work with
provisions under Guyana's international income tax laws.

IRC section 936: Transfer pricing issues: Transfer pricing and profit
split issues in uncontrolled foreign headquartered corporations,
conversions of section 936 foreign sourced income (in)to new controlled
foreign corporations and the like. Perform a Functional Analysis-A
functional analysis will typically identify and describe the functions
performed, assets used, and risks assumed by each party in a controlled
transaction. The taxpayer should provide documentation transfer pricing
methodologies and show how these are correlated with the local Tax Code
of the Commissioner of Taxes.

IRC section 263: Ordinary and necessary tangible and intangible
capitalization expenses such as the amounts paid to sell or transfer
properties and what amounts are capitalized in the value of tangible
and intangible assets.

In order for new investors to understand better the Guyana finance and
taxation environments, full disclosure should be the standard,
published in formats that help the public to understand and evaluate
potential gains and losses. This could build investor confidence,
knowing that the commissioner has a focused Tax Code that can assign
income and allocate expenses in order to determine true taxable income.

Guyana could be better off with a Tax Code for determining the tax
consequence of each transaction, using tax principles such as those for
dealing with multinational taxable income and their tax-liabilities to
government.

Yours faithfully,

Ganga Prasad Ramdas

Guyana in warning category on failed states index

http://www.stabroeknews.com/index.pl/article?id=56522850

Guyana in warning category on failed states index
Stabroek News,
Wednesday, June 20th 2007

Guyana has been ranked 99th out of 177 (the lower the score the more
serious the problem) on the Failed States Index for 2007 while Trinidad
and Barbados have been ranked 116 and 130 in the four colour-coded
categories.

According to the report, Guyana is in the orange stage of the colour
coding, meaning that the country is at the warning stage. This is the
first year that Guyana has been listed in the index. Barbados, being
listed at 130 falls in the moderate 'yellow' stage, along with such
countries like Panama, Chile, the United States and South Africa.

Ranking in the top tier with the most serious problem are Sudan, Iraq,
Somalia, Zim-babwe, Chad, Cote d'Ivoire, the Democratic Republic of
Congo and Haiti (11) among others. These states were listed in the red
'alert' stage.

Topping the countries in the sustainable 'green' stage were the three
Scandinavian states of Norway, Finland and Sweden. Last year the index
comprised 146 countries.

Indicators used to determine the ranking of the 177 countries were
mounting democratic pressures, massive movement of refugees or
internally displaced persons creating complex humanitarian emergencies,
legacy of vengeance-seeking, group grievance or group paranoia, chronic
and sustained human flight and uneven economic development along group
lines.

Sharp and severe economic decline, including a sudden drop in commodity
prices, trade revenue, foreign investment or debt payments, are also
used as indicators. Also the growth of hidden econo-mies, including the
drug trade, smuggling, and capital flight, increased levels of
corruption and illicit transactions among the general populace, failure
of the Government to pay salaries of Government employees and armed
forces or to meet other financial obligations to its citizens, such as
pension payments can also determine how a country is ranked.

In terms of other Caricom countries, Suriname was ranked at 96, Grenada
105, Belize 114, Antigua 121, Jamaica 123 and The Bahamas 129.

Venezuela was ranked 74, Cuba 77, India 110, Brazil 117, The UK 157 and
the US 160.

Mixed reviews for LEAP - next two years seen as crucial for Linden scheme

http://www.stabroeknews.com/index.pl/article?id=56522744

Mixed reviews for LEAP
-next two years seen as crucial for Linden scheme
By Nicosia Smith
Stabroek News
Monday, June 18th 2007

Kathleen Whalen

In the five years since its implementation, the Linden Economic
Advancement Programme (LEAP) says it has contributed US$3 million to
the economy of Region Ten but some critics say it hasn't been enough
and the next two years will be crucial.

Critics of LEAP have argued that sufficient jobs have not been created
and its mandate to date has not been fulfilled.

LEAP ends in June 2009; its original mandate included the creation of
1,700 jobs and the promotion of investment in the region. Already, over
half of LEAP's 12 million euros funding has been disbursed.

Private investment in the region was put at US$18.6 million ($3.7
billion) as of May, inclusive of LEAP's US$3 million figure, LEAP
statistics show.

Investment through its Linden Economic Advancement Fund (LEAF) loan
programme amounted to US$2.5 million ($517.6 million) in the areas of
agriculture, forestry, manufacturing and services, while infrastructure
and tourism development under LEAP totalled US$738,213 ($147.6
million).

Samuel Wright

Private sector investment listed by LEAP included Bai Shan Lin
International's sawmilling venture in Coomaka of US$10 million (this
operation was scaled back) and at least three other sawmilling
operations whose investment was put at US$3.6 million. Bai Shan Lin was
also recently banned by the Guyana Forestry Commission from exporting
logs.

Other investments include the Toucan Connections call centre in Kara
Kara valued at US$500,000 (this call centre has changed hands at least
once); a livestock farm valued at US$75,000 and an entertainment
facility valued at US$125,000. A bakery valued at US$500,000 (still to
be opened) and a fast food outlet valued at US$250,000 were also
listed.

Other forms of investments came under the separate Guyana Micro Project
Programme (GMPP) a government of Guyana and European Union project,
where 70% plus funding is given to bankable projects geared toward job
creation. Funding under the GMPP to Linden projects amounted to
US$196,938 in the areas of tourism and forestry.

Project Manager Kathleen Whalen told Stabroek News during an interview
in her office that there is now "a sense of entrepreneurship… in the
community."

LEAP, she noted, had over 500 registered clients and its business
advisory services are highly utilized.

In terms of job creation, it is her view that the target of 1,700 jobs
was met 16 months ago. However, it is now 65% of the target as a result
of the on-and-off operation of the call centre, which recently changed
hands and the scaling back of operations at Bai Shan Lin, which took
over Karlam South America Timbers Ltd.

The types of requests have changed, the project manager said and they
are "now much more precise." For example, Linden handicraft
businesswoman Irene Bacchus is receiving help to expand her line of
designs, she said, adding that assistance is also being given in the
area of marketing, labels and branding. And meetings are taking place
with the farmers, so that they can take advantage of export market
opportunities to the Caribbean. "It's looking very good for the next
year," Whalen said.

Asked to respond to those who would say LEAP has not done enough over
the past five years, she in turn asked: "What were they expecting?"

Among the infrastructure works under LEAP are a farm-to-market road in
Moblissa (there is a planned extension beyond its two-plus miles); the
approach to Speightland bridge and lodge and construction of other
facilities at Rockstone. Rehabilitation work is also planned for the
Haimara road at the old Alumina plant and a section of the Ituni/Linden
road at a cost of $150 million. While a farm-to-market road was built
at West Watooka, there have been criticisms that the dams to this road
need repairs. Whalen said the dams were not LEAP's responsibility, but
it hoped to extend assistance toward the dams if possible.

Exploring possibilities

In exploring agricultural opportunities, Whalen said, in terms of
expanding cash crop farming in the region, "these two things (the heavy
rainfall and hot temperature) have to be controlled." To this end, LEAP
plans to invest in a sheltered farm. There is also a plan to invest in
a 'demonstration farm', Stabroek News understands, where farmers will
go to see good farm practices and the sheltered farm technology. The
sheltered farm will probably be attached to this.

This technology is expected to be transferred to other farms in Region
Ten. Sheltered farming is already ongoing in Linden at the old alumina
plant area.

LEAP Agricultural Economics Expert Oswald Quamina said LEAP has "done
three phases of land clearing" for farmers; some 20 acres were cleared
and cultivation has already begun, with additional land clearing
planned. Quamina said apart from this, farmers in the region have
benefited from several training exercises over the years. In 2002, the
expert said 70%-80% of the vegetables consumed in Region Ten, came from
Georgetown but now this has reduced to 30%-40%.

There are also plans for an industrial incubator in Kara Kara in the
same compound as the Toucan Call Centre. Six businesses have shown
interest, Whalen said, and 60 new jobs are expected to be created
through this initiative.

Inward Investment Manager Neil Fraser mentioned that the Lethem/Linden
bus service Intraserv is exploring the possibility of starting its
service at Linden in the Washer Pond Road area at Mackenzie. Fraser
expressed the desire to see customs and immigration posts, restaurant,
gas station and a bus-park in that location to facilitate local and
foreign passengers.

There are also plans as well for a container yard and wharf at
Christianburg, along with an Industrial Site at Coomaka, he said.

Sluggish growth

Wismar businessman and former president of the Linden Chambers of
Commerce Industry and Development Basil Jaipaul feels that LEAP has
failed in its mandate.

He said that if the community were "doing well" there would be more
money circulating in it and he was "not feeling this kind of vibe."

Using his business as an example, he complained that his Western Union
outlet saw more business activity than the other section of the store.
This, he said, was a "clear indication that nothing ain't happening in
Linden in terms of job creation."

He noted that two project managers were changed before Whalen took over
and this was a setback.

"Inward Investment - for me that is a total failure," the businessman
said, though admitting that there was investment in sawmilling
operations in Coomaka, the call centre which operated sporadically, and
the manufacturing business Arawak Leather Company, which makes leather
sandals.

With regard to infrastructure, he admitted that some work was done in
the form of the rehabilitation of the Linden/Georgetown bus park,
culverts at Millies' Hide Out, road works at Moblissa and the farm to
market roads at West Watooka.

Jaipaul also recognized under institutional strengthening that
assistance was given to the Mayor and Town Council, the Regional
Democratic Council, Linden Technical Institute and the chamber.

"It's a mixed review," Linden Chamber President Samuel Wright said of
LEAP.

Wright said LEAP would admit that the first two years it did not "get
off the ground".

"Essentially, not as productive as you want it to be," he said, but the
next two years of LEAP would be critical years.

"The goal with respect to job creation has not been met," Wright said,
"what is really important is the creation of new businesses… and that
would bring in the jobs."

Wright is already looking ahead and says he would like to see the
business incubator continue after LEAP ends.

"We cannot wait until LEAP has left," to make a decision, he said. He
would like to see an institution, preferably not the government, or a
combination of institutions preferably from Linden, maintain and
operate the incubator.

"We are very optimistic about the future of Linden," Wright said.
Noting that the community needs another commercial bank, he called on
banking institutions to be more aggressive and help to create
opportunities in Linden rather than waiting for the perfect time to
come in.

Business Incubator Manager Ray Charles described the almost two years
of the incubator's existence as "a challenge". But he noted that
success was being achieved in the implementation concept of the
incubator. There are seven businesses in the centre with six small
businesses outside in small structures built by LEAP. He said most of
the resident businesses are service oriented and in times of limited
funds, were the first to be affected. Charles said the incubator hoped
to graduate its first tenant later this year, to enable another to be
incubated. Finding alternative viable locations for tenants, he said,
has posed a challenge, since tenants are usually concerned about the
profitability of the location and its affordability.

LEAF

Whalen said there has been "a strong audit report" on the operations of
LEAF. She said the draft report has not only revealed no irregularities
or misuse, but said that the operations meet "best banking practices."
In March, the first draft of a European Union special audit on LEAF was
presented and was released on May 28, Whalen said.

In October 2005, funding was withheld by the EU from LEAF manager, the
Guyana Fire Life and General Insurance (GuyFlag) now named Caricom
General Insurance Company Incorporated. This decision came after the
company was implicated in an insurance fraud. The sum already released
to LEAF by the EU is $213 million from an estimated $450 million. LEAF
continues to survive on loan and interest payments. As at April this
year, since opening in January 2005 LEAF loans to Region Ten were 459
worth $370 million.

Whalen said she hoped the farmers would be able to obtain loans from
LEAF to invest in the sheltered farm technology, once the project gets
on the way.

The withholding of funding from LEAF was unfortunate, Wright said,
since a lot of projects are reviewed but are unable to get funding. "It
is really unfortunate; one would have thought more effort would have
been made to solve that issue."

He argued that although he approves of the business advisory services
offered at the Business Incubator established in 2005, because of
limited access to the loan facility at LEAF, not as many businesses
utilize the service.

Jaipaul said, "If [the] LEAF component was running…you would have
seen big changes," adding that LEAF is a key component of LEAP and the
lack of activity of this component was affecting the entire project.

Businessman Carl Bryan told Stabroek News that in 2005 he applied for a
loan from LEAF to invest in a garment manufacturing business and was
told that the loan was approved, but funding was not immediately
available. Bryan said at the time, the EC had already withdrawn funding
from LEAF.

He later withdrew his application, but is seeking to apply to the fund
again. The funding he is seeking is $1.5 million, he said, but LEAF had
told him at the time that only $500,000 funding would have been
allotted.

He was unable to get funding from the commercial bank in Linden which
he said labelled the project "as not showing much cash banking
transactions".

Now this entrepreneur is selling clothing at Parika "to get something
going" as he puts it.

Beyond LEAP

In January, a consultant examined the next step for the infrastructure
that LEAP will leave behind, Whalen said. Among some of the proposals
is for an enterprise inclusive of the private sector and government to
carry on the investment promotion exercises, business advisory
services, the incubation centre and for some training. Efforts are also
being made to put a cost to the continuity of these exercises, she
said.

A decision is expected to be made by September on the continuity of
services under LEAP, which is scheduled to end by June 2009.

Noting that LEAP is a grant to Guyana, Whalen said that under LEAF the
principal sum is to be handed back to the government by the fund
manager. LEAF is worth 1.9 million euros. And the "government will make
a decision as to how that money will be continued to be used," she
said, adding that its use must have the same objective as LEAF.

No progress yet in probe of missing TPL files

http://www.stabroeknews.com/index.pl/article?id=56522775

No progress yet in probe of missing TPL files
Stabroek News
Tuesday, June 19th 2007

Though the Toolsie Persaud Limited's (TPL) files that disappeared from
Customs House some months ago are no closer to being recovered, the
company is seeking to make right with the Guyana Revenue Authority
(GRA) and bring its tax dispute matter to a speedy resolution.

A source close to Commis-sioner General Khurshid Sattaur said the GRA
was still carrying out its internal investigation to discover what
happened to the files.

"We are not ruling out collusion. We're concerned about the intent or
possible intent of the disappearance since it could serve the
taxpayer," the source said.

A police investigation had commenced and this is still ongoing, a
police source said.

According to the source, Sattaur is soon to receive a report from his
Customs staff on the internal investigation.

The GRA source said that though the Commissioner General was not
casting blame or ascribing guilt it was reasonable to conclude that
there had been collusion on the files' disappearance. Sattaur, the
source disclosed, said too that it was not usual for files to go
missing in Customs House.

The person said the GRA has means of arriving at a conclusion on
whether the business was liable through means other than the
information contained in the files.

Speaking to Stabroek News last week, lawyer for TPL Sanjeev Datadin
said the company has decided against proceeding with court action for
the time being with the hope that the matter would be resolved. Datadin
said TPL was in communication with the GRA with a view to bringing the
matter to a close.

According to the source, Sattaur opined that the GRA shared some of the
blame since the files' disappearance showed that system controls had
been compromised. Human error was not being ruled out in the files
being misplaced but at the same time, it seemed convenient that the
files vanished during a revenue matter, the source said.

In April, the GRA had said that TPL had been evading the payment of
consumption tax on quarry sales and that the sums of consumption tax
owed was in the vicinity of hundreds of millions of dollars.

Akawini moving on to its own sustainable forestry operation

http://www.kaieteurnewsgy.com/news.htm
Akawini moving on to its own sustainable forestry operation
Kaieteur News, 16 June 2007


Akawini's Village Toshao David Wilson and attorney-at-law David James,
of the Amerindian People's Association (APA), yesterday told media
operatives that the Akawini Village Council was categorical in its
denial of the allegation by Chairman of Barama Company Ltd, Girwar
Lalaram, that Akawini wants the Barama Company back in the village.

The comment came when Akawini and the APA hosted a press conference at
the Raddison Suites in Queenstown, Georgetown, to clarify their
position in relation to Barama.

James added that rather than the Council asking to have Barama back
after it has destroyed many of the prime species, the Council has in
fact started an initiative to start its own sustainable forestry
operation.

A delegation from the Council has already sought information from the
relevant stakeholders on the specifications of the logs to be
harvested, and will start on a small scale to retail locally.

Chairman of Barama, Girwar Lalaram, had told Kaieteur News that the
Captain and villagers of Akawini had indicated that they want the
logging company to establish a direct arrangement with the village.

Wilson retaliated, “I have not visited, nor has the Village Council
visited, the office of Mr. Lalaram during last week to negotiate any
direct agreement with Barama. In fact, no one from the Council has
visited the Barama office in months.”

“It appears that Barama has resorted to lies and fabrication to save
face,” Wilson said.

James also told the media that Wilson (Akawini Toshao) and the Village
Council are contending that the decision to have Barama vacate -- which
was made at the meeting with Barama in Akawini on May 29 -- is final.

“The Council is asking that the company leave peacefully and to desist
from carrying out the threats to destroy the roads in the village,”
said James

The Council, according to James, is discussing with a law firm
possibilities of legal action, given that the Ministry of Amerindian
Affairs has not offered any help.

Lalaram had said that the Captain and other persons visited his office
lobbying for a direct arrangement with the company rather than the
sub-contract that Barama had with Interior Wood Products Incorporated
(IWPI).

This statement was also refuted by Wilson, who indicated that apart
from the monies owed by Barama, IWPI owes the Village Council an
estimated $10 million.

He noted that the sum accumulated from outdated cheques that were
returned to the company for updating but were never reissued to the
Council.

The Council is also asking that Barama pay all outstanding money to
Akawini workers who worked with them for months without being paid.

In response to the statement by Lalaram that IWPI cut only 99 per cent
of the peeler logs, the delegation provided media operatives with a
copy of a document purportedly from the ‘Camp In-charge, Pomeroon' to
Emery Song, documenting the logs harvested for April 2007.

According to the document, IWPI, on behalf of Barama, logged Baromalli
(sanctioned for logging), Bulletwood, Crabwood, Kabukalli, Locust and
Purpleheart among others, all of which were not sanctioned for logging
by the company.

The delegation also highlighted what it called a breach of contract in
only hiring a maximum of 16 workers, whereas the agreement was for at
least 80.

The delegation also provided a copy of a pay slip dated October 2006 in
the name of one Frederick France of the IWPI /Pomeroon department, for
a net pay of $21,000, which is below the minimum wage of Guyana.

The delegation also raised another issue, saying that the works
conducted by Barama have interfered with their livelihood, wherein the
streams are now either blocked or polluted.

They added that income has also been lost given that a number of the
non-timber resources in the forest have been lost, such as Mucru, which
is traditionally used for fashioning nibbi furniture.

“At the rate Barama was harvesting, the people of the village now feel
a sense of security now that Barama is gone…If Barama had stayed for
three more months, the likelihood for a sustainable harvesting
operation would not have been there…Based on records, what they
(Barama) harvested in one month we could have taken 13 years,” said
Wilson.

Akawani Village Council plans sustainable forestry

http://www.guyanachronicle.com/news.html

Akawani Village Council plans sustainable forestry
Guyana Chronicle, 16 June 2007

OFFICIALS at yesterday’s press conference
MEMBERS of the Akawani Village Council who have ousted the Barama
Company from logging operations in their village are to launch out on
their own sustainable forestry operations.

The Toshao of the village Mr. David Wilson yesterday said the council
will seek to obtain funding from the Guyana Micro Projects Program
(GMPP) as a means of providing employment for villagers and uplifting
the quality of life in the community following the ouster.

The Amerindian community in Region One (Barima/Waini) signed a contract
in February 2006 with Interior Woods Products Incorporated(IWPI)
allowing Barama to log in the area.

They, however, terminated the contract on May 29 because they were not
seeing any tangible benefits from the arrangement and had become
convinced that they were being exploited.

They alleged that IWPI was logging the last remaining forest of the
Akawini village and in so doing was threatening their livelihood and
violating their rights as indigenous peoples.

Chairman of Barama, Girwar Lalaram had earlier been reported in another
section of the media as saying that some members of the community
wanted the company to return to the village.

He had said the Captain and other persons from Akawini had visited his
office lobbying for a direct arrangement with the company rather than
the sub-contract that Barama had with IWPI.

He added that this was the very proposal he put forward to the
community when he visited about two weeks ago and they rejected it.

Lalaram had also been quoted as saying Barama had invested some
US$500,000 in roads and infrastructural works in that area and had
already completed some 20 km of road at the cost of US$8,000 per km.

He had, however, added that Barama was cutting its losses and moving on
and that there was no way he would consider continuing the operations
in Akawini after the way his company was treated by the community.

At a press conference yesterday held by the Amerindian People’s
Association (APA), Wilson denied that the villagers want the company
back into the village.

He said that neither he nor anyone from the council had held any talks
with anyone in Barama Company about changing their minds and allowing
them back into the village.

Wilson stressed that the decision made by the District Council that
Barama must leave the village was final.

Others representing the APA at the press conference were Mr. David
James, Attorney–at-Law and Mr. Howard Cornelius, a Councillor of the
neighbouring village of Wakapao.

James said the contract which the Village Council of Akawini had signed
with IPWI had been hopelessly biased in favour of that company.

He said it was an agreement which had put the villagers at a terrible
disadvantage and had cost the community millions of dollars.

He said steps were being taken to ensure that the principle of Free
Prior Informed Consent is applied to any other such agreement with any
other Amerindian community.

He disclosed that the APA is seeking to educate its members so that
they can protect themselves from exploitation by individuals and/or
companies which seek to do business in their communities.

Guyana put on U.S. TIP “watch list” • urged to step up prosecution

http://www.kaieteurnewsgy.com/Archive/JUNE%2007/13/index.htm

Guyana put on U.S. TIP “watch list”
• urged to step up prosecution
Kaieteur News, 13 June 2007

Guyana is now on the United States “Tier 2 Watch List” for its failure
to provide evidence of increasing efforts to combat trafficking in
persons (TIP) over the past year, particularly in terms of convicting
and sentencing human traffickers.

The U.S. 2007 TIP Report, released yesterday by the U.S. State
Department, firmly stated that the government should aggressively
investigate and arrest suspected traffickers, and make every effort to
move their cases through the criminal justice system.

“The government also should expand training for judges and magistrates
who handle trafficking cases, especially in remote areas, where the
bulk of trafficking occurs,” the report noted.

Countries placed on the watch list in the report will be re-examined in
an interim assessment to be submitted to the U.S. Congress by February
1, 2008.

Guyana had previously bypassed the “watch list” category and entered
onto the list of countries at Tier 2 after a countrywide campaign was
launched by the government in response to a previous report which
listed the county at Tier 3, the worst possible rank. The report issued
yesterday stated that the government sustained prevention efforts
during last year, and continued awareness campaigns via print and radio
media, and launched a widespread anti-trafficking education effort
before the Cricket World Cup in April 2007.

However, the U.S. report stated, Amerindian girls from the interior are
trafficked to coastal areas for sexual exploitation, and young
Amerindian men are exploited under forced labour conditions in timber
camps. In some instances, victims are abducted.

Additionally, Guyanese women and girls are trafficked for sexual
exploitation to neighbouring countries such as Suriname , Barbados ,
Trinidad and Tobago , Venezuela , Brazil , and the U.S. , the report
stated.

The U.S. report added that while the Guyana Government does not fully
comply with the minimum standards for the elimination of trafficking,
it is making significant efforts to do so.

The report cited the Combating of Trafficking in Persons Act, which
became law in 2005 and which prescribes punishment ranging from three
years to life imprisonment, penalties which are sufficiently stringent
and commensurate with those for rape and other grave crimes.

However, the government has yet to obtain an anti-trafficking
conviction.

Six criminal cases were opened against alleged traffickers in 2006,
with two of the cases being dismissed, and four are still pending.

According to the U.S. report, this represents a modest increase from
2005, when three prosecutions were initiated.

It added that prosecutors report that rural magistrates remain
unfamiliar with the new trafficking law, and cases tried in the capital
move at a slow pace due to the judicial backlog. There was reliable
evidence of some public complicity in trafficking by lower-level
officials, and a conspiracy charge was filed against a police officer
for such an offense in 2006.

The U.S. State Department recommended that in the coming year the
government should intensify its efforts to expedite cases against
traffickers, as recently emphasised by Minister of Human Services and
Social Security, Priya Manickchand.

She had called for speedy trials in trafficking cases and urged police
to do more to encourage reporting of trafficking crimes.

The report noted that Guyana made modest progress in providing victim
assistance during last year, while it included limited NGO funding
assistance in its 2007 Budget and provided training for police and
public officials on identifying trafficking victims. Victims' rights
are generally respected, and there were no reports of victims being
penalised for crimes committed as a direct result of being trafficked,
the report noted.

According to the report, Guyana is principally a source country for
men, women, and children trafficked within the country for the purposes
of commercial sexual exploitation and forced labour.

Technical training should be expanded to reach officials in rural
areas. Guyanese law enforcement officials worked with counterparts in
neighbouring countries to share information on international
trafficking cases and to assist victims.

Governments that fully comply are placed in Tier 1, while, for other
governments, the U.S. considers whether they are making significant
efforts to bring themselves into compliance.

Governments that are making significant efforts to meet the minimum
standards are placed in Tier 2, while governments that do not fully
comply with the minimum standards and are not making significant
efforts to do so are placed in Tier 3.

• The Special Watch List criteria are considered and, when applicable,
Tier 2 countries are placed on the Tier 2 Watch List.

Every TIP report is vigorously investigated - Manickchand

http://www.kaieteurnewsgy.com/Archive/JUNE%2007/14/index.htm

Every TIP report is vigorously investigated - Manickchand

“We will not manufacture charges to satisfy any statistic.”
Kaieteur News, 14 June 2007

Minister of Human Services and Social Security, Priya Manickchand, has
mixed reactions to Guyana's placement on the United States' “Tier 2
Watch List” for its failure to provide evidence of increasing efforts
to combat trafficking in persons (TIP) over the past year, particularly
in terms of convicting and sentencing human traffickers.

In brief comments, yesterday, Manickchand told Kaieteur News that every
single reported case of TIP is vigorously investigated with a view to
getting a conviction.

But she added that Government will not call for conviction, since every
suspect is presumed innocent until proven guilty.

She added that the U.S. report did recognise the efforts being made by
Government to address the problem, especially the enactment of the
Combating of Trafficking in Persons Act, which spells out stiff
penalties for offenders.

However, the report also noted that Government has yet to obtain an
anti-trafficking conviction.

“We will not be manufacturing any charges against anyone to satisfy any
statistic, but we continue to work with the Guyana Police Force to
vigorously investigate any reported cases of human trafficking,”
Manickchand stated.

The U.S. 2007 TIP Report, released on Tuesday by the U.S. State
Department, firmly stated that the government should aggressively
investigate and arrest suspected traffickers, and make every effort to
move their cases through the criminal justice system.

The report also recommended that Government expand training for judges
and magistrates who handle trafficking cases, especially in remote
areas, where the bulk of trafficking occurs.

Manickchand conceded that there needs to be swifter hearings in TIP
cases, noting that approaches will be made to the judiciary to have the
issue discussed.

At the beginning of the year, Manickchand, in addressing the issue of
prosecution of suspected traffickers, had called on the police to do
more to encourage reporting of trafficking crimes and had expressed
dissatisfaction with the pace at which the cases were proceeding in the
courts.

The U.S. report noted that six criminal cases were opened against
alleged traffickers in 2006, with two of the cases being dismissed, and
four were still pending.

According to the U.S. report, this represents a modest increase from
2005, when three prosecutions were initiated.

It added that prosecutors report that rural magistrates remain
unfamiliar with the new trafficking law, and cases tried in the capital
move at a slow pace due to the judicial backlog.

There was reliable evidence of some public complicity in trafficking by
lower-level officials, and a conspiracy charge was filed against a
police officer for such an offence in 2006, the U.S. report noted.

The U.S. State Department recommended that in the coming year the
government should intensify its efforts to expedite cases against
traffickers.

The report noted that Guyana made modest progress in providing victim
assistance during last year, while it included limited NGO funding
assistance in its 2007 Budget and provided training for police and
public officials on identifying trafficking victims.

According to the report, Guyana is principally a source country for
men, women, and children trafficked within the country for the purposes
of commercial sexual exploitation and forced labour.

The U.S. report stated that Amerindian girls from the interior are
trafficked to coastal areas for sexual exploitation, and young
Amerindian men are exploited under forced labour conditions in timber
camps. In some instances, victims are abducted.

Additionally, Guyanese women and girls are trafficked for sexual
exploitation to neighbouring countries such as Suriname, Barbados,
Trinidad and Tobago, Venezuela, Brazil, and the U.S., the report
stated.

Guyana had previously bypassed the “watch list” category and entered
onto the list of countries at Tier 2 after a countrywide campaign was
launched by the government in response to a previous report which
listed the country at Tier 3, the worst possible ranking.

Countries placed on the watch list in the report will be re-examined in
an interim assessment to be submitted to the U.S. Congress by February
1, 2008.

Akawini Village seeks $10M from Barama in unpaid debt

http://www.kaieteurnewsgy.com/news.htm

Akawini Village seeks $10M from Barama in unpaid debt

Kaieteur News, 15 June 2007

The Akawini Village Council Toshao, David Wilson, is contradicting the
statements issued by Chairman of Barama, Girwar Lalaram, which
suggested that the Council had indicated an interest in having the
logging company continue its operations in the village.

Wilson said that the Council had observed the steady depletion of the
surrounding forests and, therefore, sought to evict the logging company
on the grounds that “the operations were seriously hampering the
villagers' ‘Amerindian' way of life.”

The Toshao said, too, that Barama, through the Interior Wood Products
Incorporated (IWPI) with which a sub-contract was signed, owes the
Akawini Village Council in excess of $10 million in outstanding monies.

He said that the only interest the Council has in the logging company
is in the payment of the large outstanding sum.

Further, Wilson denied ever confiding in the Barama Chairman, who
suggested that the village was misled by the Amerindian People's
Association (APA).

He denied that the village wants the company to make alternative
logging arrangements.

According to Wilson , the APA is the only Amerindian Association that
has managed to maintain the trust of the people of Akawini Village ,
and it has never advised them against the benefits of the people.

Wilson did, however, confirm that the company has complied with the
villagers' request and has begun removing its equipment, adding that
the company is also seeking to take with them the logs that have
already been cut.

He said that Barama, during its time of operations, sought to cut down
only the major species, reducing the chances of the villagers to
recruit another logging company to maintain a steady and level income.

Two weeks ago, during an official meeting with the community, Barama
was forced to shut down its operations at Akawini after the residents
told the company's management that the village wanted the logging
operations to cease.

During the meeting, intense lobbying was carried out by the logging
entity to maintain its operations in the village.

The Amerindian community had signed a contract with IWPI allowing
Barama to log in the area.

The Village Council is claiming that it never saw the supposed contract
which was signed between the two companies.

The Toshao also revealed, yesterday, that reports were made to the
Ministry of Amerindian Affairs suggesting that there was some level of
embezzlement in the Council.

This, he said, resulted in the request for an immediate internal audit
into the Council's spending, and the temporary suspension of payment to
the Council, with the cheques being withheld by the Amerindian Affairs
Minister.

Upon completion of the audit, Wilson said, the cheques were outdated
and therefore could not be encashed.

He said that he had approached the IWPI to rewrite the cheques, but
that request was denied.

He added that there has since been no assistance from the Amerindian
Affairs Minister, Carolyn Rodrigues, who he claims is partially
responsible for the financial position of the village.

Wilson said that a neighbouring Amerindian village, St. Monica, has
been pleading with the logging company to remain in that village.

He added that the company may likely refuse, since most of the valuable
species were taken from Akawini.

With reference to the infrastructural works that the logging company
undertook at a cost of US$500,000, Wilson said that the road was built
more to the benefit of the logging company than to the village.

He said that the road construction has destroyed several major
waterways and dams. He pointed out that the company, in its dismantling
process, is wittingly destroying the very roadway in an effort to spite
the village.

President accuses U.S. of double standard

http://www.kaieteurnewsgy.com/news.htm

TIP report…
President accuses U.S. of double standard
Kaieteur News, 15 June 2007

President Bharrat Jagdeo yesterday accused the United States of having
double standards on human trafficking which is considered the modern
day form of slavery.

The Head of State was responding to Guyana's placement on the United
States's “Tier 2 Watch List” for its failure to provide evidence of
increasing efforts to combat trafficking in persons (TIP) over the past
year, particularly in terms of convicting and sentencing human
traffickers.

“If the U.S. were to be judged on the same standards that we are being
judged they will be on Tier 3, the worst scale…with hundreds of young
girls, teenage girls who are trafficked from Central America into
slavery into the United States of America. There are hundreds of that
and we don't have that in Guyana,” President Jagdeo stated.

He echoed statements by Human Services and Social Security Minister,
Priya Manickchand, who said that Government will not be manufacturing
any charges against anyone to satisfy any statistic, but will continue
to work with the Guyana Police Force to vigorously investigate any
reported cases of human trafficking.

The U.S. 2007 Trafficking In Persons (TIP) Report, released on Tuesday
by the U.S. State Department, firmly stated that the government should
aggressively investigate and arrest suspected traffickers, and make
every effort to move their cases through the criminal justice system.

The report also recommended that Government expand training for judges
and magistrates who handle trafficking cases, especially in remote
areas, where the bulk of trafficking occurs.

Ms Manickchand had conceded that there needs to be swifter hearings in
TIP cases, noting that approaches will be made to the judiciary to have
the issue discussed.

The U.S. report noted that six criminal cases were opened against
alleged traffickers in 2006, with two of the cases being dismissed, and
four still pending.

According to the U.S. report, this represents a modest increase from
2005, when three prosecutions were initiated.

The U.S. report stated that Amerindian girls from the interior are
trafficked to coastal areas for sexual exploitation, and young
Amerindian men are exploited under forced labour conditions in timber
camps. In some instances, victims are abducted.

Additionally, Guyanese women and girls are trafficked for sexual
exploitation to neighbouring countries such as Suriname, Barbados,
Trinidad and Tobago, Venezuela, Brazil, and the U.S., the report
stated.

Guyana had previously bypassed the “watch list” category and entered
onto the list of countries at Tier 2 after a countrywide campaign was
launched by the government in response to a previous report which
listed the country at Tier 3, the worst possible ranking.

The Akawini Village Council is losing millions due to bad advice

http://www.stabroeknews.com/index.pl/article?id=56522484

The Akawini Village Council is losing millions due to bad advice
Stabroek News
Friday, June 15th 2007

Dear Editor,

I refer to a letter captioned "Who did Mr Peter Persaud really
represent?" (07.06.07).

I wish to deal with this letter as per paragraph starting from the
second.

2nd paragraph: In relation to the Akawini issue, I never seek to cast
blame on others. I knew who the persons were who influenced and
maliciously advised the Akawini Village Council (AVC) to make a bad and
unpopular decision which resulted in the withdrawal of Barama from
Akawini. As a result of the AVC's decision, the village is losing
millions of dollars which could have been used to push the community's
development process. Those persons who badly advised the AVC know who
they are and should declare publicly why they had done a disservice to
themselves, their organizations, to the people of Akawini, the Region 2
RDC and the government. I was carrying out my modus operandi and so far
I am proven to be correct and better yet if an investigation is carried
out by the relevant authorities.

The fact that the AVC was badly advised was a blatant violation of the
principle of self determination where the AVC was not allowed to make
its own decisions. It is now apparent that while the old Amerindian Act
was outdated and paternalistic, there are Amerindian Organisations that
are now practicing neo-paternalism and in this case Akawini became a
victim. In this modern world indigenous peoples need to make informed
decisions that determine their development goals without being attached
to any Amerindian organization or for that matter any other
organization.

I had discussions with two senior members of the APA on the Akawini
issue but they were more interested in my "connections" to the Barama
Company than finding solutions amicably on the Akawini issue which at
the time was already blown out of proportion. Nevertheless, I informed
them, even though the meeting was confrontational, that the Akawini
village did give their consent through a transparent process to the
IWPI for forest harvesting to take place on their lands. Also they knew
about Barama's role. The forest harvesting agreement was signed after
the Akawini residents had studied the agreement. The village council
and residents were very happy with the agreement and were now awaiting
the start of forest harvesting operations. However, the Honourable
Minister of Amerindian Affairs said that the agreement between IWPI and
the AVC needs to be amended to provide for more benefits to the Akawini
community. In the meanwhile the project was shelved. I was totally now
out of the picture and was never informed about events that followed
from the AVC. Also I never saw the agreement that was amended by the
Honourable Minister.

3rd paragraph: I cannot recall telling the Akawini people that I was
"the Amerindian representative" in the earlier discussions with them.
Normally I would tell people at engagements with them that I am a
representative and member of The Amerindian Action Movement of Guyana
(TAAMOG). But many persons know me to be representing the Amerindian
Peoples of Guyana so if the designation of "The Amerindian
representative" was referred to me in any note-taking and those notes
were read I would have certainly objected. Moreover, no member from any
of the other Amerindian Organisations can claim to be "the Amerindian
representative".

4th paragraph: There was no opportunity to state my opinions to the
representatives of the APA on the inspection tour of Barama's
operations at Buckhall and Akawini because these two Organisations had
already stated their positions in a Press Statement carried in the
Stabroek News (24.05.07) which called on Barama to cease its Akawini
logging about a week before the inspection tour. Also the APA member
while being all along with the touring team never gave an indication
that there would have been a picketing demonstration - and that another
APA member was already in the Akawini village.

The APA and GOIP were harbouring illusions because with my
"familiarity" with the Barama officials,they claim I was on the side of
Barama and not Akawini. This is immaturity on the part of both
organizations and also an unqualified generalization. I am totally and
absolutely committed to the rights of indigenous peoples of which I am
a part and I am eager for them to be incorporated into the money
economy of this country. Indigenous peoples lack the technical and
financial capacity to use their resources for their own development and
I see no reason for them not to form partnerships with either the
government or the private sector to bring about the transformation in
their respective communities. I think that this should be one of the
approaches for Amerindian peoples development. But this kind of
partnership between Barama and Akawini village was killed by persons
who waged a campaign of hate against the Barama company while pursuing
their own agendas both at the national and international levels. While
they may be proud for what they have done, the residents of both
Akawini and St Monica villages are at the crossroads of doom. I trust
that the wider indigenous community take note of this.

5th paragraph: Any investor can invest in any indigenous community of
his/her choice provided the correct application of the procedures is
followed. These procedures are contained in the Amerindian Act 2006.
For both the APA and GOIP to know, the Akawini village council and
residents knew about Barama's role in forest harvesting from the start,
that was why they accepted payments for logs harvested even though the
company was called a "trespasser". Further, no indigenous organisation
should claim that an Amerindian community is its absolute preserve.
Because I am known to represent indigenous peoples issues, I was
invited to attend the initial meeting between IWPI and the Akawini
community. I used the opportunity to ensure that the Akawini community
gave its free, prior and informed consent to the IWPI for logging
operations to take place on its lands. This was done which resulted in
the signing of the initial agreement by this village council and the
IWPI officials. The APA and GOIP seem to have difficulties in
understanding which of the agreements the village council signed for
forest harvesting to actually take place, whether it was the initial
agreement that I knew about or the Hon Minister's amended agreement
that I did not see. Their accusation of me being unable to represent an
issue is therefore false and misleading to both the general public as
well as to the international community.

I visited the Toshao in Akawini to impress on him to meet with the
Barama officials to engage in preliminary discussions to set the stage
for bringing to an end the problems between Akawini and the IWPI. The
Toshao said that his council was prepared to work with Barama and not
the IWPI and that he was prepared to meet the company's officials at
any time. The Toshao also said that he was going to Switzerland with
the APA to complain against the IWPI at an International forum. At this
time I realized that the situation had become contaminated.

6th paragraph: TAAMOG will hold its Annual members conference on the
28th -29th October 2007 to elect new office bearers and Executive
Committee members to manage the affairs of the organization. The APA,
GOIP and NADF will be asked or invited to send one representative to
attend this two day event. Our Constitution is entitled "The Amerindian
Action Movement of Guyana Constitution".

Mr Editor, I do not use the press to spread groundless statements and
accusations. I speak the truth when it becomes necessary because this
is a reflection of my style and upbringing.

Yours faithfully

Peter Persaud

President

TAAMOG