Trinidad and Tobago Prime Minister Kamla Persad-Bissessar has said an investigation will be launched into allegations that a $27 million Caribbean Airlines (CAL) contract was awarded to an insurance firm, to which CAL chairman George Nicholas has ties.
“I do not know anything more than what is in the newspapers… I saw the headline, but I did not get a chance to read the story so it would be inappropriate to comment on that now,” Persad-Bissessar said on Sunday.
She said, however, that Transport Minister Jack Warner would investigate the matter.
The prime minister said she was awaiting a written report on the CAL Board from the Finance and General Purposes Committee.
“The committee has not yet given me a written report, I guess because they have so many matters that seem to be important,” she said. “The board continues to function until such time as that report comes and a decision is taken.”
The Sunday Guardian reported that a three-year contract to provide employment benefits, brokerage and consulting services at CAL was awarded to CIC Insurance Brokers, a subsidiary of CIC Holdings, on February 4. Issa Nicholas Holdings Limited, CIC’s fifth largest shareholder, is owned by Nicholas’ father. He is also a director of the company.
The report stated Nicholas, vice-chairman Mohan Jaikaran, and directors Allan Clovis and Gizelle Russell, were at the tenders committee meeting with insurance manager Ronald Sukhbir and human resources manager Charmaine Heslop Da Costa, when CIC was shortlisted. It is also alleged that WINTV, a local television station owned and operated by Jaikaran, had received a significant number of advertising contracts from the airline.
Persad Bissessar said, “I will certainly ask the line minister to look into the matter.”
