Minister of Communities, Ronald Bulkan and his brother Rustum Bulkan, both shareholders in Precision Woodworking Limited, a company in receivership, have filed a multi-million dollar lawsuit against Bank of Guyana and it’s Governor Dr. Gobind Ganga.
Claiming in excess of $90M in damages, Minister Bulkan and his brother claim that the Bank of Guyana neglected its statutory duty as it failed to launch and investigation into the deposit of $82, 068,617 into the company’s bank account being held at Republic Bank (Guyana) Limited for which they are the only authorized signatories.
Precision Woodworking Limited was placed into receivership by Republic Bank as of June 2011.
In court documents filed by their lawyers Patrice Henry and Maxwell Edwards, the brothers said that the monies were deposited into the company’s bank account on June 16, 2011, and can be supported through a Discovery Statement issued by Republic Bank pursuant to a court order.
In court documents seen by this publication, Minister Bulkan and his brother said that during March 11, 2013 to December 22, 2017, they wrote to Dr. Ganga; Republic Bank; Minister of Finance Winston Jordan; and Attorney General Basil Williams in relation to the “unauthorized and suspicious” deposit.
But according to the brothers, Dr. Ganga ignored and continues to ignore their pleas for an investigation with the view of prosecution in relation to the deposit as Bank of Guyana has regulatory oversight over Republic Bank.
In spite of Republic Bank’s confirmation that the millions of dollars were indeed deposited in the company’s account, Minister Bulkan and his brother argue that Central Bank continues to “arbitrary and whimsically deny the deposit being made.”
In fact, among other things they argue that Dr. Ganga continues to fraudulently misrepresent that no such deposit was ever made into the company’s bank account.
According to the brothers,”[We] are gravely concerned and disturbed that the deposit was a breach of the Anti-Money Laundering and Countering of Financial Terrorism Act by an individual identifiable by name.”
In their Statement of Claim, the Minister and his brother added, “[We] are accurately aware of the international financial jeopardy that Guyana endured as a result of the Financial Task Force blacklisting Guyana prior to 2015; and of the government’s post 2015 zero tolerance for money laundering.”
The brothers further said that at all material times they are too well aware and cognizant of the draconian and ruinous effects of the penalties of fines ranging from $220M to $520M, and/or imprisonment prescribed under the Anti-money Laundering and Countering of Financial Terrorism Act.
In the circumstances, they are suing Dr. Ganga for negligence, deceit, misfeasance in public office for which they are seeking in excess of $10M each in damages. They are also suing the Bank of Guyana for breach of statutory duty and are seeking in excess of $50M in damages.
They are also asking the court to award them exemplary damages for the potential harm, distress and unease caused by Dr. Ganga’ s action; substantial costs and further or other order as the court deems just.
