By Robert A. Emmanuel
The main shareholder in the Eastern Caribbean Cancer Centre has appointed a receiver to manage the affairs of the facility as the government continues to stand firm on its position over its acquisition.
That revelation was made by Prime Minister Gaston Browne during Wednesday’s Cabinet meeting. Yesterday, Ambassador Lionel Hurst – the Chief of Staff in the Office of the Prime Minister’s said that accounting firm, PKF Pannell Kerr Forster will oversee the institution’s affairs.
Hurst revealed that the accounting firm and the facilities’ legal representative Hugh Marshall Jr “informed the Government of Antigua and Barbuda that they intend to move ahead with the bankruptcy proceedings.”
A receiver, according to global professional services firm PwC, may be appointed in a shareholder dispute to complete a project, liquidate assets, or sell a business.
The dispute over the Cancer Centre arose from a March letter sent by the centre’s owner, Dr Conville Browne to the Prime Minister and Minister of Health Sir Molwyn Joseph informing them that the centre would be closed in a month due to financial difficulties.
The letter sent shockwaves among cancer patients and survivors who have used the service, encouraging the government to save the centre.
However, after the principal owner reportedly demanded US $15 million (EC $40million) from the government, the government moved to pass a resolution in Parliament to allow for the compulsory acquisition of the property.
This was after the government valued the institute at EC $6 to $9 million, a position that the government continues to hold.
“We are making an offer to them that reflects that the Valuation Officer for the government of Antigua and Barbuda has estimated what the Cancer Centre is worth.
“If they do not accept it, we have already gone to Parliament and enacted the legislation necessary for eminent domain to be excised in this case and we are far more likely to have to exercise it,” Hurst declared.
He added that the Valuation Officer was unable to give a more definitive value of the facility for a variety of reasons.
“The only reason he couldn’t be more specific is that he said that the equipment that is currently in the Cancer Centre is new to him.
“He knows how much they fetched when they are new, the question is having been used since 2014 … what value to place on them would seem to be a problem because that is not where is expertise lies,” he said.