Former Urban Development Corporation of Trinidad and Tobago (Udecott) executive chairman Calder Hart and Noel Garcia, the current chairman of the State-owned company, should both be held “accountable and liable for the losses” incurred with the Las Alturas housing project in Morvant.
The recommendation was made in the report of the Commission of Enquiry into the entire process which led to the construction of the Las Alturas Towers at Lady Young Gardens in Morvant. The report was handed over to President Anthony Carmona by commission chairman Mustapha Ibrahim earlier this week and laid in Parliament yesterday.
According to the report, the commission stated, “There is no ground from which we can advise that criminal proceedings ought to be brought against anyone.” However, the commission recommended that civil liability action be taken against Hart, Garcia, Udecott and the Housing Development Corporation (HDC) for negligence in how the project was handled.
Garcia, who became the Udecott chairman following the People’s National Movement’s ascension to Government in September last year, was the HDC managing director during the construction of the Las Alturas project.
The commission said the manner in which the land for the project was acquired “indicated gross carelessness and or negligence on the part of Udecott”.
“Certainly it was not in conformity with the obligations of a prudent purchaser,” the report said.
The board of both Udecott and the HDC “were in breach of the statutory duty imposed upon them as directors to exercise due care and diligence in the performance of their functions as it related to the purchase of the site in 2002 and the continuation of the project by the HDC after 2006, without first undertaking proper geo-technical investigations,” the report added.
Both entities also failed to put in place proper mechanisms which would have ensured timely disclosure and accountability to the State, the report noted.
“Udecott, in purchasing the land for development of low-cost housing units, created a situation where it is clear that the land was generally unsuitable for that purpose. They therefore should be held accountable and liable for the losses sustained thereby,” the report stated.
Hart, who failed to show up to testify before the commission, was described as the “mind and the management” of Udecott with respect to the project.
“He failed to do that which a prudent buyer would have done in the purchase of the land. He was required to do an inspection of the land before the purchase and if he had done that he would have seen all the facts that operate against its suitability for the project,” it stated.
The report said Hart should therefore be held accountable and liable for the losses sustained in the execution of the project. The HDC also built in areas “clearly unsuitable for development.”
Two of the buildings were constructed on a site that was “unfit for building” and the buildings were therefore “unfit for human habitation” and as a result were recommended to be demolished, it noted.
The report also said Garcia gave a “very pathetic display in the witness box” at the enquiry.
“Several decisions taken by him or in which he participated leave much to be desired. His evidence was very unsatisfactory in many respects and decisions made by him showed lack of proper guidance and leadership which was required to oversee the project. He, too, should be held accountable and liable for the losses sustained by the HDC when he was its managing director,” the report stated.
Project’s history
The Las Alturas project was started under the Patrick Manning-led PNM administration and completed when current Prime Minister Dr Keith Rowley was housing minister.
Speaking at the post-Cabinet press conference on Thursday, Rowley said the enquiry had so far cost $24.5 million.
The enquiry was appointed by President Carmona in December 2014, after the former People’s Partnership administration agreed to its establishment in September 2014.
Two high-rise buildings in project “H” and “I” were deemed unsafe for human habitation and ordered demolished.
Hart and the China Jiangsu International Corporation refused to appear before the enquiry.
Ibrahim said the housing project cost almost $80 million.