by Linda Straker
- Ministry of Mobilisation, Implementation and Transformation (MIT) was allocated EC$15 million to assist with rebuilding of homes
- Rebuilding contracts were awarded by MIT and Ministry of Housing
- All government funds must be accounted for because of various supporting legislation
Finance Minister Dennis Cornwall has announced that the Audit Department will be conducting audits into several contractors who were awarded house construction contracts under the Hurricane Beryl Response Initiative and failed to complete.
The northern part of Grenada — in particular St Mark, St Patrick, Carriacou and Petite Martinique — was the worst hit by the category 4 hurricane which devastated the island 1 July 2024. In the aftermath, the government approved millions to assist homeowners in rebuilding their homes.
The Ministry of Mobilisation, Implementation and Transformation (MIT) was allocated EC$15 million under the 2024 supplementary budget to assist with rebuilding homes. It was approved by vote 0048564 by the Finance Committee in the Lower House of Parliament.
Justifying the allocation to the MIT ministry, the finance ministry said it will be used for “reconstruction of approximately 200 homes on mainland Grenada in the parishes of St Mark and St Patrick; $50,000 per home, this includes labour and material and equipment cost if deemed necessary.”
Speaking about alleged financial misconduct, malfeasance and irregularities of public funds through the contracts awarded by the MIT, Cornwall said that he has heard one or two cases where contractors have started the houses and disappeared.
When asked why this is happening, he said, “I don’t really know, I believe that the persons issuing the contracts to those contractors need to basically make sure that they vet these people properly,” he added.
The rebuilding contracts were awarded by the MIT and the Ministry of Housing, whose minister is Gloria Thomas. Recently, Thomas also confirmed that some of the houses built or renovated under the Hurricane Beryl Response Initiative were a disaster.
Sharing details of the financial wrongdoings, Cornwall said that he has heard stories and though he didn’t want to talk about the stories, he gave an example. “I don’t want to talk about it here right now, but for example, a guy got money he put it in an account and so on and every now and again he goes and takes a little EC$200 and he does not appear on the person’s site to confirm and continue the project.”
Announcing that all government funds must be accounted for because of the various supporting legislation, Cornwall said, “I want to put out a warning to persons who have collected government moneys and did not do what they should do with it, or you used it for other purposes and so on. We will have the Audit Department audit those things. We will have the necessary steps taken to make sure you can account or account for the moneys you were given,” he said.
According to the 2007 Audit Act, the Director of Audit shall be the auditor of all of the accounts of the government and, as such, shall make such examination and inquiries as he or she considers necessary to enable him or her to report as required pursuant to the provisions of the Constitution and this act.
“In his or her examination and audit of the accounts of the government, the Director of Audit may make such checks as he or she considers necessary to enable him or her to form an opinion as to whether a department of government including a branch of a department, a ministry or an authority has used its resources with economy, efficiency and effectiveness,” states Section 10 subsection 2 of the legislation.
All audited reports of the government are tabled in the Houses of Parliament.