Moontown

DENIS KELLMAN’S COLUMN – THE DEBATE

JUNE 13, 2006

An article written by Mr. Alleyne last weekend has prompted me to respond publicly and to thank those persons who taught me Accounts, Commercial law, Statistics, Economics and History etc. Mr. Alleyne seems to have gotten out of a dream and suddenly realized that I do speak on Economic matters and that Mr. Jones from the Ministry was my first teacher.  The writer would do good to speak to Sir Henry about my strengths and he would be educated about the predictions of the late Sir Harold and himself, when they were in the Lower House.

Mr. Alleyne should speak to Mr. Albert Brandford about a press conference which I called when I was Deputy Political Leader to respond to the Governor of the Central Bank in 1999, it was felt then, that I should not have led off the debate as Acting Leader, but should have allowed Senator Mascoll to lead. It is clear that some people do not understand leadership and should really go back and listen to their parents speaking about leadership in the house. Surely, Mr. Alleyne would have heard his father saying, “Don’t care how big you get, there will only be one man in this house.”

Mr. Alleyne, by his own pen has admitted that I am the only politician to come up with an Economic theory to solve our foreign exchange, labour and productive problems. I quote: “Now whatever you say about the Honourable Member for St. Lucy, he is no empty vessel- after all, he is the father of Kellmanomics – but he is adept at making the most noise!” He has Kellmanomics to keep the most noise about.

He went on to make the point that I crashed landed with my parachute unopened. Mr. Alleyne would do himself justice by referring to Hansard, where someone once said that “the Honourable Member for St. Lucy talks foolishness, but the press reports it, and the people believe it.” Is it that the member speaks foolishness, or is it that some politicians are so far removed from the people that they do not understand what the people want to hear? They believe that politics is about them and not the people?

 Mr. Alleyne brags of foreign reserves of $1.2 billion, without telling the public how they are made up. Surely, one would want to know the foreign dent allocation, the savings, current outstanding foreign bills, money being held by foreign banks and parent companies etc.

I want to thank Mr. Alleyne for accepting that the country would have been better served if the public was told how much of the $1.2 billion came from the construction of Lakes, Apes Hill, The New Paradise (Four Season) and the several other tourism projects. Clearly, using the information given by you, one can conclude that the other sectors are draining the foreign reserves created by the tourism sector. Or is it that in Barbados, these figures are only estimates and not actual?

Mr. Alleyne claims in his article that because Dr. Estwick speaks about reducing deficit that he is in conflict with what I said about increasing foreign reserves by productive means. Surely, somebody should tell Mr. Alleyne that what we are suggesting are two different economic indicators that can occur from the same procedure. He should know by now that from productivity, foreign exchange can be derived from trade overseas and taxation whether direct or indirect comes from local or external trade. Local trade can save us foreign exchange, while foreign trade can lose or earn foreign exchange.

He also purported that once a Deputy always a Deputy, once you have a seat. This conclusion was drawn from the fact that he said that Dr. Estwick was named as Deputy, which can be easily be interpreted that once named by Mr. Mascoll, that no one else can be named. Now the public should finally understand why Dame Billie was removed as Deputy, replaced by the Honourable Mia Mottley, named as a Senior Minister, but paid as a Deputy Prime Minister.  Her financial package is the same as the Honourable Mia Mottley. I have argued when Dame Billie was given the same pay as the other Deputy, that the Deputy Political Leader, Dr. Estwick at the same time, should have been paid as Deputy. Surely, Mr. Alleyne would agree that it is wrong for one person in the Opposition to be compensated and not his deputy.

It is also wrong for Retired Prime Ministers not to be treated like Retired Presidents in the USA. It is clear that the system tends to insinuate that politicians have a short life after leaving politics. I believe that the same terms worked out for judges and other officers with the same condition should be accorded to politicians who have to spend and work in the hope of a job, without any guarantees.

He also said that the job of shadow minister of finance is the job of the shadow minister of economic affairs. What Mr. Alleyne is apparently telling his party that when the Prime Minister leaves the country, that it is wrong for Minister Mascoll to act as Minister of Finance. Up to this point, I did not know of the confusion in the BLP until Mr. Alleyne sought to implement the Bajan saying on the DLP: “Mama Mama call her big foot before she calls you.”

Mr. Alleyne would have been well served, had he asked Minister Mascoll about the roll I played during the by-elections in encouraging Dr. Estwick to speak on various issues. This advice was given to me by Mr. Evelyn Greaves, which I followed and worked to my advantage. As a senior MP, I readily offered the advice to my juniors, even if it was not accepted by some. The reason offered by Mr. Greaves for such application was due to fact that no one knows which Ministry he or she would have to serve in.

Peace, love, unity, humility, wisdom and understanding.

ISSUES AND IDEAS BY EZRA ALLEYNE

NATION NEWS  - 9/6/06

Just when it was thought it was “safe to go into the water”, there is some evidence of subterranean battle seeping through the cracks of the Democratic Labour Party (DLP) for the deputy leadership of the party.

Quite recently, Mr. Denis Kellman fleetingly acquired the title of Acting Leader of the Opposition, during the absence abroad of Opposition Leader David Thompson. Now whatever you say about the Honourable Member for St. Lucy, he is not an empty vessel – after all, he is the father of Kellmanomics- but he is adept at making noise!

On Tuesday, May 2, Dr. Marion Williams, Central Bank Governor reviewed the economy for the first quarter of 2006, and spoke about the increase in Government revenue by about 25 per cent; and within 24 hours of the report of Dr. William’s Press conference, the temporary leader of the DLP, with parachute unopened, jumped into the debate, with his two cents worth. Inevitably, he crashed landed!

Mr. Kellman who was reported as not being impressed with the overall performance of the economy, poured scorn on the increase in revenue, and delivered himself of the following words of wisdom. He declared: “I honestly do not believe that a country like Barbados that has a foreign exchange problem, should be bragging about an increase in construction unless, that construction has to do with industries that are using services and that there is a possibility of the expansion of the foreign exchange on completion of these services.

“In other words, if the construction is for enhancing the tourism industry and the productive industries, then you don’t have a problem.”

Now, I cannot believe that anyone can sensibly allege that Barbados has “a foreign exchange problem”, when the island has 25 weeks supply of foreign exchange reserves (or  $1.2 billion), which is twice the number of weeks’ reserves  - the safety net- stipulated by the tough international ratios, which Dr. Estwick says are the benchmarks!

Foreign exchange problem, my foot, Mr. Kellman. But the time to safeguard Foreign exchange is when you have it, as Mr. Arthur is urging; not when you have no foreign exchange as occurred during the last DLP Administration.

So far as Mr. Kellman’s call for construction “enhancing the tourism  industry” is concerned, isn’t that what Apes Hill, Lakes, The New Paradise Beach, Four Seasons and several other tourism developments are intended to do, and will do?  And was not that the reason for building the “new” Hilton? What point is Mr. Kellman making? Is he not saying then, that the Barbados Labour party’s policies are right? And what about the jobs created, during and after construction, Mr. Kellman? Is the new Tourism Development Act, not working?

But the political problem goes deeper, and may have implications for the stability within the DLP. Mr. Kellman is not impressed with the 25 per cent increase in Government revenue, which means a smaller deficit, but on Brass Tacks, two Sundays ago, Estwick was knocking Government’s policies and saying that the deficit should be reduced. Get with it fellows.

Seriously, how can one member of the Shadow Cabinet be urging Government to reduce the deficit while another “carries on” when Government’s policies produce precisely that result? And these people want to run a national economy?

 Do they not discuss policy positions and strategy before hand, or are we seeing the early manifestation of a subterranean battle for future leadership within the DLP?

You see, Thompson chose Kellman to act as Leader of the Opposition as he (Thompson) was travelling; but those duties had been Dr. Estwick’s “pick” when he was Deputy Leader of the Opposition, and one wonders if the two recent excursions in the media had any connection with Mr. Thompson’s choice. As one journalist often says, stay tuned for coming attractions!

RICE AND PEAS; MACARONI PIE

BANANA AND SALT FISH; CREAMED POTATOES

SWEET AND SOUR CHICKEN; BAKED CHICKEN

BBQ SPARERIBS; BBQ PIGTAIL

FRIED FISH; GRILLED FISH

LAMB STEW; PORK STEW; FISH GRAVY

STEAMED VEGETABLES; TOSSED SALAD

Mark Titus, Business

Reporter
Claro headquarters in New Kingston. -

Having long spilled over from the boardroom to the media to the courtroom, the war being waged by the three main players in the mobile telephone market has now reached the desk of Jamaica’s competition watchdog, the Fair Trading Commission (FTC).

The FTC confirmed this week that it was investigating a complaint by mobile market leader, Digicel Jamaica.

The company, which has shaken up the telecoms market here since it debut in 2001, alleges that its rivals, LIME and Claro Jamaica, are engaging anti-competitive behaviour involving collusion and price fixing.

The charge flows from the move in September by LIME, the former monopoly, to slash by some 42 per cent the rate its mobile customers pay for calling subscribers of Claro, the newest telecoms entrant.

LIME is the new trading name adopted by Cable and Wireless for its Caribbean-wide operations.

The rate cut resulted in a significant reduction from $12 per minute to $7 for post-paid calls while slicing rates by $2 to $8 $2 and $4, to $8, depending on the calling plan.

LIME’s prepaid customers now pay about $8 per minute to call Claro phones.

In contrast, Digicel subscribers continue to pay $17.70 for each minute spent on the LIME or Claro network.

Claro, in particular, has been hammering Digicel on this point in its latest attack advertisements.

“We have filed a complaint that relates to the mobile termination rates which were offered by Cable and Wireless, and agreed between themselves and Claro, and our contention is what we feel is their anti-competitive conduct in relation to not only that, but also in the fixed line market as well,” Richard Fraser, Digicel’s head of legal and regulatory affairs, told the Financial Gleaner.

“LIME offered Digicel the same reciprocal termination rates offered to Claro and Digicel refused,” LIME’s Country Manager Geoff Houston has shot back.

Houston insists this is a material fact that must be disclosed to the FTC.

Houston’s assertion that the same deal had been placed on the table in talks with Digicel is being supported by his vice-president of corporate communications, Errol Miller, who contends that several meetings were held on the matter with Digicel, as well as telecoms regulator, the Office of Utilities Regulation (OUR).

Houston has dismissed Digicel’s latest claim as “nothing more than a spurious attempt to keep inflated prices in the market”.

And in the seemingly endless trading of barbs and lawsuits, the LIME Jamaica boss further contends that this complaint by Digicel is designed to “distract the FTC from applying its energies to constraining Digicel’s anti-competitive practices”.

But, as the FTC has pointed out, it can only make a ruling on their perception of any breach of the Fair Trade Competition Act and then seek a court determination of the matter or encourage the parties to hammer out a settlement.

“We enforce the Fair Trade Competition Act, and a few of the components of that act establish a breach only if competition is harmed in some way,” said Dr Kevin Harriott, head of the Competition Bureau at the FTC.

“Once we can show that there is a reasonable likelihood that it could harm, we will pass this information to the legal department to decide if we are going to court, or come to some agreement with the parties, but the decision is made above us.”

The fair trade official likens the agency’s role to the investigative functions of the police.

“Their having an arrangement in and of itself is not prohibited,” said Harriott, referring to LIME and Claro.

“It is the effect of such an agreement on competition that we look on.”

In addition to its agreements on rates, LIME and Claro had inked an accord to share cell towers at locations across Jamaica after a public tussle between Claro and Digicel.

Claro says it has 470 towers and plans to construct up to 610, while Digicel has put its tower count at 1,200.

LIME has not disclosed its number of towers sites. (Jamaica Gleaner)

Gary Spaulding, Gleaner Senior Writer
Workmen prepare to provide water to the Kingston Public and Victoria Jubilee hospitals in Kingston yesterday. - Norman Grindley/Chief Photographer

Water resources have receded to crucially low levels in the busy downtown commercial district, forcing trucks to be rushing with the critical commodity to the Kingston Public and Victoria Jubilee hospitals.

The trucks had been delivering water to the institution for more than a week, but the situation has worsened over the past two days, precipitating increased action by the National Water Commission (NWC).

Chairman of the South East Health Regional Authority, Lyttleton ‘Tanny’ Shirley, told The Gleaner he has been in talks with the NWC to truck water to the institutions.

Shirley said the NWC has been dispatching at least two truckloads of water to the hospitals daily.

“The NWC is appreciative of our situation and has been quite cooperative,” Shirley asserted.

He disclosed that senior managers of both institutions have been busily knocking heads in meetings to craft strategies aimed at addressing the problems.

Chief executive officer of the KPH/VJH, Godfrey Boyd, and his senior officers were reportedly locked in a meeting all day when The Gleaner sought to ascertain how the institutions were coping.

Shirley said that over the past 48 hours, a number of short-term measures have been implemented to prevent any severe dislocations in the hospitals’ operations.

Health Minister Ruddy Spencer told The Gleaner that he was closely monitoring the situation.

Critically low

Residents of the communities located close to the two hospitals told The Gleaner that the water supply had reached critically low levels since Wednesday night.

Staff members of the hospital and the people who live in the west Kingston locale said the pipes were barely dripping.

The situation has also reached crisis proportions in the Maxfield and Waltham Park communities, with residents being forced to sit and wait on unscheduled water trucks along the major thoroughfares.

The health clinic and numerous educational institutions in and around these communities have been hard hit.

Many of the schools are equipped with water tanks, but these are also running critically low.

“We have not had water for more than three weeks, long before many were talking about water shortage,” a mother of two told The Gleaner.

A teacher at Norman Manley High School said the institution was coping well.

The taps at the St Peter Claver Primary School have run dry, forcing the administration to employ creative means to keep water in a tank and the school open to its students.

However, this has proven to be severely challenging for the young students as the product has had to be conserved for long periods at times. (Jamaica Gleaner)

Arthur Hall, Senior Staff Reporter
Ellington

The high command of the Jamaica Constabulary Force (JCF) is getting more worried about the number of policemen and women hiring out their services to criminals.

Acting Commissioner of Police Owen Ellington revealed the JCF’s concerns yesterday, less than 24 hours after two members of the force were taken into custody for their suspected role in a daylight gangland shoot-out in Hayes, Clarendon, involving members of the feared Clansman and Boston criminal posses.

In that incident, an occupant of one of the vehicles died and two handguns were seized.

“I am deeply concerned about what appears to be an escalation in the activities or participation of members of the JCF in criminal gangs as well as consorting with known criminals,” Ellington said during a media briefing at the Office of the Police Commissioner in St Andrew.

“I am issuing a warning to all policemen and policewomen to stop associating themselves with criminals or criminal gangs,” Ellington declared.

“I want to state categorically that as long as I am in charge, I will use every lawful means at my disposal to find those individuals and to get rid of them from the JCF on the grounds that they have lost my confidence and they have lost the moral authority to continue serving the public,” he added.

Ellington further warned policemen and women that if they were suspected of having ties to criminal gangs or consorting with criminal elements, they will be punished.

“We in the Police High Command will make no distinction between police personnel involved in criminal activities and civilians involved in criminal activities,” the acting commissioner stated.

He said the police would be relentless in going after criminal gangs blamed for most major crimes across the island.

Colleagues at risk

“When policemen carry on their wrongdoing, they put the lives of their colleagues at risk and the lives of their families and friends also at risk,” warned Ellington.

Ten members of the police force have been killed this year.

That number includes 36-year-old Constable Steve Brown who was shot in Clarendon on Monday as he drove a man who had gone to court to answer charges, including illegal possession of a firearm. Brown was not on duty at the time of the incident, but has not been accused of any criminal act.

Ellington is urging members of the public to report instances when policemen or women are seen in the company of known gangsters.

He pointed to the toll-free line 1-800-CORRUPT (1-800-267-7878) as one of the safe ways for persons to pull the rug from under dirty cops.

Ellington was supported by head of the Police Anti-Corruption Branch, Assistant Police Commissioner Justin Felice, who is leading the charge to rid the force of corrupt cops.

“There is a lot of information floating around about members of the force involved in gangs and we need to get the good policemen to tell us what they know because the good police know what is going on,” Felice said. (Jamaica Gleaner)