Legal issue delays AG report

| 02/08/2011

(CNS): Although the auditor general had intended to release another value for money audit this week, the office has confirmed that this has been delayed as a result of legal issues. Following a general report released by Alastair Swarbrick which raised serious concerns about the integrity of government’s procurement process, the country’s chief auditor had revealed that a second report detailing cases studies that had passed through the tendering process would soon follow. However, a spokesperson for the office has confirmed that this report has been delayed as a result of legal challenges that have been made concerning the completed report.

The report, which is a review of the entire procurement process for three specific request for proposals regarding government’s purchase of services, has reportedly hit legal issues, which Martin Ruben from the auditor general’s office said had to be addressed before it could be released.

Although unable to give details, the senior auditor told CNS that once the issues were cleared up, the auditor general would be able to answer questions. “The release of the report has been delayed as a result of legal issues that have arisen that need to be fully resolved before we can give the report to the Speaker of the Legislative Assembly,” he said. “We don’t have a timeframe yet for the release but we will not allow the legal challenges to the report to prevent its release. We are not concerned over this challenge but issues need to be clarified and we still intend to ensure the report is made public.”

The much anticipated report is expected to detail what happened during the tendering process for the 2009 Jazz Festival, the government circumvention of the central tendering process in its efforts to secure cheaper financing for its debt in the 2010/11 financial year, and the purchase of CCTV equipment, which is now being erected in public places in an effort to fight crime.

It is a partner report to one released by the auditor general on 5 July, ‘Management of Government Procurement’, which spelt out a catalogue of problems surrounding the acquisition of goods and services by government, from a genuine risk of corruption through to a lack of requisite skill sets to ensure the public is receiving value for money when government spends tax payers' money.

In that first report Swarbrick found that there was no way the public could be sure that it was getting value for money from the more than $250 million being spent by government on goods and services. In a highly critical report Swarbrick noted that the practices and behaviour of the officials involved were “far from ideal” and had led to a significant waste of money.

He noted that there was no clear line of responsibility for management of how government spent money and that direct political interference had created significant risks for fraud and corruption which was virtually impossible to mitigate because of the lack of checks and balances. 

The next installment was expected to drill down into the process and examine three specific contracts which went through the central tendering process to see if the tax payer achieved value for money and what exactly happened with these contracts.

See previous report below.

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  1. Anonymous says:

    I think you got the picture, 

       remember it was done by those who thaught the new Caymanian would be able to vote in 2004, when they discovered it would take at least 18 months  before they could vote the proposers of the motion were very dissapointed.

    it takes from apprx 18 months and upword for those with the grant to become naturalised and then they start applying for their dependants, and it is still going on, enough said.

    the problems we have are not from, the  decrease in residents or work permits. the people are here and still coming even though there are less W.P"s

    the problem is basically, that those coming in, and being braught in,

       have very little spending power and are cheap labour therefor reducing the wages of Caymanians, which in turn make us all worse off.

    Increasing the number of empty pockets coming to the Islands will do all of us  no good

    I could go on and on, will it make a difference????

    We need responsible, long term thinkers to run this country,

    not those who focus most of the time on being re-elected.

  2. Anonymous says:


    No feeling here,

        Almost 3000   (2800 +)   status grants were given away for political reasons, mostly to people that could not qualify.  surely you can agree that there are at least 1 person who can qualify to become a legal resident for each grant, = 5600 ++ new residents that do not need a work permit.

    now you figure out the rest,  suggest most have at least 4 dependants,   (simple math) and do not forget the adoptions granted and pending!!!  the RTW, KE etc.

    mostly speculation, to a small degree, but common sense will prevail

    when you get the #"s from immigration post it, it's not for the average "Joe" to know.

    • Anonymous says:

      OK, but you are talking about the status grants way back in 2003 (or was it 2002?).  Was the discussion not about the massive work permit decline in the last few years and what has been happening to the economy recently?

  3. Anonymous says:

    Check the schools and you will see a large portion of new students are as a result of the status grants.

    Have immigration verify how many people have gained status through the people given status by grant,  they seem to protect this  figure/#  quite well, they say we don't keep statastics like that????. By the way far too many grantees dont have the money to pay 4 the immigration fee.   what will they do for us?.

    There are still many applicants waiting to come in through the grants, and people continue to apply. 

    most employers and lots of private people on a weekly basis are approached by people applying for jobs on a Right to Work (RTO) certificate,   who for the most part have just married someone given status by or through the grants. 

    I suggest  as  a result of the status grants we will have a least 12000 (twelve thousand) new Caymanians (simple math).

    don't you think that will have an affect on work permits?

    Yes people are leaving for one reason or another but those coming in that do not need work permits,           and the new W. P. holders make up for those turned down,    maybe they do make up for the monitary $$$ lost by some leavers, but the people are here.

    Thats the result of hasty decisions for political reasons, AND not Putting the country first!!!!!.

    • Anonymous says:

      I don't believe you can use "simple math" in the way you are attempting to.  If I were to say "I feel think there were 2 status grants and each had a spouse and two children, thus 2 (grants) + 2 (spouses) + 4 (children) = 8 new caymanians.  Its simple math!!!".

      Yes, that would be simple math.  However, the numbers I'd be using as the basis for that simple math are completely made up.  If you don't know the numbers to base your simple math on you cannot just make them up (at least not if you want to be taken seriously). 

      I agree immigration should have those numbers and if show they should be released so a more informed discussion can take place.  However, the lack of such numbers doesn't give one license to just make up numbers and claim it is simple math and thus is correct.

  4. Anonymous says:

    08-03.       12:27




    1) Status Grants of apprx. 2900 would show an apprx decline of 13% in work permits

    2) Add apprx 1500 adults joining the New Caymanian Spouses who are now an additional New  Caymanian.  a further reduction of apprx. 7% in W.P's.

    3) add an average of 3 children to each GRANT,age group, pregnant   to  18years. an addition of appx 8,700 new Caymanians.            adoptions are not included in this figure!!!

    4) then you have those married to Caymanians with the right to work (RTW), K.E.  AND ON AND ON IT GOES.

    WHEN YOU ADD all the ways people can remain here without a W. P., that is the reason you see the decline in W>P's    BUT THE people ARE STILL HERE and adding to the population as mentioned above.


    now think of the above and figure out for yourself what is going to happen to these wonderful Islands.

       There is more to life than get $$$ quickly and increasing our population will not necessarily make these Islands a better place to live

       wake up fellow Caymanians the time is now , right now  to decide how we want to live and move these islands forward with tranquility, peace, harmony and prosperity.

    • Anonymous says:

      The numbers from #1 were from the 2003 grants (well before the drop since 2008).  #4 still requires work permits so the drop already has that factored in.  #2 & #3 seem to be just made up numbers that at least I cannot find any backing for.

  5. Anonymous says:

    Please release the names of the people behind the legal challenge.

    Evil loves the darkness and hides in the shadows. The truth loves the light and shall be revealed.

  6. 4th CLASS CITIZEN says:

    Putting the boys on the spot is good transparency. Let's get it out there. All questionable companies should be put on hold until all questions or legal issues are resolved. How's that?

  7. anonymous says:



    Dissolve the L.A indefinitely, suspend the entire legislature until further notice.




    We don't need the UDP nor the PPM we need the UK to come in and quietly

    take over with no international exposure to frighten investors.

    Just simply take this little rock over until we can find HONEST MEN AND WOMEN to run the country.


    • Anonymous says:

      wells said….. time for a march to the governors house

    • Libertarian says:


      Rather, continue the L.A and Democracy in the Cayman Islands, do not suspend the entire legislature until further notice. Have the Commissioner of Police go through with the investigations of the Premier until its outcome and findings.
      IF CORRUPTION IS FOUND IN THE CAYMAN ISLANDS GOVERNMENT, SEE TO THE PROSECUTION OF THOSE INVOLVED. Have enforced Cayman Islands AntiCorruption Laws which both parties have failed to do.  >
      We don't need the UDP nor the PPM we need the UK to faithfully work with our democracy and have the laws enforced so that Cayman Island's financial reputation can be sustained and investors won't be frightened away by a UK dictator.
      Just simply look at this little rock and help us find HONEST MEN AND WOMEN to run the country.

      • Libertarian says:

        Correction:  We need PPM, UDP, and the UK to all work together democratically!

    • anonymous says:

      Goverrnor Duncan,

      Elections need to be put off for at least 3 years, we are not at all ready to vote for anyone in 2013 in this mess. We trust no one. XXXX No jobs, too many killings, guns, something is wrong politically causing this surge in crime. They are not forcing businesses to hire the people, everyone is doing as they please unregulated. Work permits off the charts, locals refused jobs in their own country, politicians travelling, living large and lavish.We obviously elected THE WRONG PEOPLE .

      Any government that is elected and is supported primarily by foreigners has GOT TO BE THE WORST GOVERNMENT IN HISTORY AND ALSO THE WRONG PEOPLE IN OFFICE.

      It is an abnormal outcome.

      Governor Duncan put off elections till 2014 WE ARE NOT READY TO VOTE FOR ANYONE AT THIS STAGE we are too confused about these people we thought we could trust but they are a disappointment. they are no better than the TURKS AND CAICOS.

      Governor Duncan BEFORE THE UDP AND ITS LEADER get us in trouble with the UK and we lose our costitutional rights. Please step in take over for the next 3 years quietly, sit them down and run the country. We'll be happier. I'm sure we'll get jobs again since the Chamber won't be giving you orders as they are giving the L.A. their marching orders daily

      Meantime cut their pay in 1/2 too. the country is broke. This group SERVES NO PURPOSE to the people of the Cayman Islands and the ROLLOVER POLICY MUST STAY its all we have left .

      • Anonymous says:

        "Work permits off the charts" – have you looked at the work permit numbers, thats part of the problem of why there are no jobs, because expats have left and the ones left here are not spending any additional income in a country that does not want them… Ask some of the people you know in business here, see how much they are hurting because work permits are down! Get your facts straight before making hudge general statements.

        I would refer you to the latest economic and statistics report issued last month, and is available for free on thier website:

        "Following the decline in work permits of 13.6% a year ago,the contraction continued this period, this time by 10.6% to settle at 19,877. "

        And just for your information the decline from 2009 is almost 25%

        • Anonymous says:

          …and for your information you are simply misunderstanding the numbers and what they are in fact reporting. The expatriate population has not in fact declined anything like you are professing.

          • Anonymous says:

            At the end of 2008 there were 26,517 work permits in place.  In the Q1 2011 report there were 19,877 work permits in place.  So there may be other categories of expats like the retired, but looking just at those here on work permit at least it seems the above poster is basically correct that they have declined by about 25%.

            • Anonymous says:

              I think the point the poster is making is that quite a number ofthose permit holders were converrted to permanent residents.

              • Anonymous says:

                But permanent residents, still require work permits.  Now if/when thoes people recieve status they wouldn't need work permits, but that number I believe is quite small and I've seen nothing to believe there have been anything in the area of 6,640 reduction in work permits offset by new status grants in the last couple years.

                • Anonymous says:

                  don't worry… the poster is doing the national caymanian past time…..sticking his head in the sand…..

          • Anonymous says:

            Yes it has.

    • Libertarian says:

      A British takeover based on Corruption will ruin the reputation of these islands, and many investors will flee the country like it did in TCI.  Why would any Caymanian who love their country, want us to reduced to a Welfare State where UK taxpayers would have to bail us out?  We have AntiCorruption laws that can be enforced, ENFORCE THEM!  Or amend the Constitution with more checks and balances if that is what is needed!

      • Anonymous says:

        corruption ruined tci not british rule……

      • King of Diamonds says:

        A British intervention would not negatively impact the offshore indutry.  It would help it.  There might be a chilling on inward investment but in the long run it would help inward investment if there was a perception of less corruption in Cayman.

    • Anonymous says:

      sorry, but what a dumb letter

  8. Anonymous says:

    Let us wait and see what will happen next.  Seems as if the UK will be here soon to instill value for money.  This has gone just too far now.

  9. Anonymous says:

    The corrupt hate it when their actions come to light. I hope that the "legal issues" referred to do not involve any government department trying to keep corruption from coming to light.

  10. Anonymous says:

    Legal challenges by who?

  11. Dreadlock Holmes says:

    Should make interesting reading while the Premier is off insulting theU.K. Charges of corruption and investigations of same are serious issues and let's not forget sometimes the best defence is an offence. Par for the course he has personally chosen the Premier is certainly being offensive. Makes you wonder what is hidden and has happened. Good work by you and your office Mr. Swarbrick.

  12. Strangers in the night says:

    There seems to be a lot of legal issues flying around at the moment! With the AG's reports due on the Cohen & Cohen deal & the CCTV deal, to name two, & the hot rumours that we heard concerning these "you scratch my back & I'll scratch yours" deals, things do not look too good for the government at the moment. I wonder who is shaking in their boots in anticipation or worry?

  13. Anonymous says:

    By all means this young upstart must be stopped!!  The world must never know what goes on in the procurement process! NEVER!!  (how are we ever to have fine upstanding members of government and the business community, if their dealings are made public… oh my)

  14. Anonymous says:

    who and why?

    this place is becoming a complete joke…..