KARL SAMUDA, Opposition Spokesman on Industry and Commerce, on Friday called on Pat Francis, President of JAMPRO to give a full explanation of the reasons why the Trinidad-based A.V. Knowles & Company Ltd., was asked to conduct a credit report on NetServ Communications Ltd.
Specifically, Mr. Samuda wants to know why the damning report which questioned the integrity of NetServ's principal shareholder Paul Pereira, which was submitted around December 28, was not received by the National Investment Bank of Jamaica (NIBJ) until February 7, 41 days later.
The report was damning in its criticisms of Mr. Pereira.
Despite this, the NIBJ went ahead and disbursed a further $90 million to the company which was last week placed in receivership. A total of $185 million in public funds was pumped into the company which has since gone bust. Gone with it are promises of 10,000 jobs in the information technology sector over three years. At the time of its demise, NetServ had employed a mere 209 persons. The principals involved also failed to inject the required US$6 million in equity.
According to Mr. Samuda, it was necessary for Mrs Francis to answer the following questions:
Was the report completed and submitted on or around December 28, 2000?
Was a copy of this report sent to the Minister of Industry, Commerce and Technology for his attention? If so, on what date was this done?
Was the Permanent Secretary in the Ministry of Industry, Commerce and Technology made aware of this report and if so on what date, in what manner and by whom?
Can you confirm that this report was sent to the National Investment Bank of Jamaica along with a covering letter? If so, are you in a position to make public a copy of this letter?
According to Mr. Samuda, a copy of the Knowles Report was not received by the NIBJ until February 7, a clear 41 days after it was received by JAMPRO.
