Jagdeo challenges Lall to produce evidence of ‘secret’ Marriott investors

–– says hotel 100 per cent gov’t owned

Ltd., had agreed to come on board as private investors, acquiring 67 per cent of the equity of AHI for US$8 million.

VICE-PRESIDENT,

Dr Bharrat Jagdeo on Thursday went to great pains to definitively affirm that the Guyana Marriott Hotel is wholly and completely owned by the Government of Guyana, dispelling persistent rumors of secret investors having a stake in the hotel.

During a press conference at the Arthur Chung Conference Centre (ACCC), Dr Jagdeo sought to address persistent allegations by daily newspaper, Kaieteur News and its publisher Glenn Lall, of mysterious private investors being behind the hotel, seeking to benefit from the government’s move to sell its shares in the hotel.

Addressing the media corps, that included Lall, Dr Jagdeo maintained government’s full equity in the property.

“I saw a headline implying that I said that we’re selling [the Marriott] to pay off private investors. And then Mr Lall again said that there are some secret private investors who are hiding behind the Republic Bank.

“So, I don’t know about secret private investors hiding behind Republic Bank but let me make it clear today, now, the government of Guyana owns 100 per cent of this hotel,” Dr Jagdeo affirmed.

In a spirited discussion, Dr Jagdeo dared Lall to come forward with any evidence to corroborate his fixation with private investors being behind the funding of the Guyana Marriott.

“If you could provide a single shred of evidence that there was a private secret investor that got a cent from the Marriott I will resign now. If you cannot, you must apologise and stop lying to the people of this country,” Dr Jagdeo said.

Located in Kingston, the US$52 Guyana Marriott, which opened in 2015, is funded through public investments and a US$27 million syndicated loan from Republic Bank Ltd.

The government invested US$30 million through the National Industrial and Commercial Investments Limited (NICIL), and owned the hotel via Atlantic Hotel Inc. (AHI), a special- purpose company established to build the hotel.

In 2017, as AHI encountered difficulties in servicing the loan, the gov- ernment took over the loan.

Dr Jagdeo acknowledged that while the initial plan was for the hotel to be developed as a public-private partnership, with equity investment from a firm from Hong Kong, that arrangement was never completed.

“We couldn’t go forward, we said we will do it on our own. That’s why we had to take a loan now because part of it was coming in as equity and part as a loan. So, the investor was going to bring in some equity and a loan. The government for was the take and less of a return and its equity share at the beginning to encourage the private equity investor. That didn’t happen. So, it is 100 per cent of by the government of that,” Dr. Jagdeo said.

Two Hong Kong businessmen who are principals in the British Virgin Islands (BVI)-registered ACE Square Investments

Ace Square Management Ltd., affiliated company of ACE Square Investments Ltd., has been selected to operate the Entertainment Complex and secure the outfitting cost.

However, in 2015 the businessmen pulled out of the investment plans.