QAII paid only $4M on agreed lease fees for Sanata Complex in 2009
…had negotiated $50M rental charges
Having negotiated with the government to pay some $50M per year, to initially lease the Sanata Complex at Industrial Site, Ruimveldt, by Queen’s Atlantic Investment Inc (QAII), the company in 2009, one year prior to purchasing the property paid only $3.9M.
At least this is according to the Company’s official Financial Statement of Expenditure filed with the Deeds Registry for the financial year ending December 31, 2010.
No lease payments were catered for in the statement of expenditure for 2010 having acquired the property but the previous year’s records reflect the paltry $4M (in comparison to the $50M negotiated) paid as lease charges.
QAII is headed by Dr Ranjisinghi ‘’Bobby’ Ramroop who at the time of the announcement to the lease had also committed to creating some 600 permanent jobs.
This, he said, would have been done by the end of 2008 but according to the Statement of Expenditure for the group of companies, employment cost for 2010 was some $96.3M.
For 600 employees this employment cost would work out to just over $13,000 per month.
For 2009 which is the year just prior to when the 600 jobs were supposed to have been created, QAII has reflected as employment costs for that year $9.5M.
QAII is said to be an investment company consisting of five subsidiary companies, namely, Global Printing and Graphics Inc.; Global Hardware Inc.; Global Textile (Guyana) Inc.; Health International Inc.; Healthcare Life Sciences Inc.
This publication reported on Wednesday that following the acquisition of the Sanata Complex property from the National Industrial and Commercial Investments Limited (NICIL), QAII reported that its assets more than doubled.
The company’s 2010 Financial Statements, which were inked by the Group’s head and best friend of former President Bharrat Jagdeo, Dr Ramroop, verified that the group’s total assets for 2009 were $3.6B. It skyrocketed to $7.9B in 2010.
In that 2010 Financial Statement it is illustrated that appreciation of assets came from the realization of ‘tangible fixed assets.”
According to the report, QAII’s ‘tangible fixed asset’ for 2009 was worth some $1.2B and by the subsequent year that figure appreciated to $5.2B.
Queens Atlantic Investment Inc. was incorporated in Guyana in 1999 and is run by a board of directors.
Following invitations to lease the Complex along with some components of the dye factory it housed, the Government of Guyana in 2008 approved the privatization of the Sanata Textiles Complex (Sanata), Industrial Site, Georgetown to QAII for the purpose of establishing a
multi-purpose investment complex.
NICIL’s Executive Director, Winston Brassington, and the Executive Chairman of QAII, Dr Ranjisinghi ‘Bobby’ Ramroop, in a joint missive, had stated that the privatization of Sanata had taken the form of the issuance of a 99-year lease at a substantive rental of approximately $50M per year.
Dr Ramroop, at the time, had intimated that he envisaged an overall investment of US$30M and the creation of 1200 jobs of which 600 new, permanent jobs would become a reality by the end of 2008.