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Richards dismissive of TV report ‘innuendo’

Finance Minister Bob Richards

Minister of Finance Bob Richards has vigorously denied any suggestion of impropriety with regard to the initiation of discussions for the redevelopment of LF Wade International Airport.

It was alleged last night on local television that the Bermuda Government had been engaged with Canadian construction company Aecon Concessions from the start about the building of the new airport terminal, and not the Canadian Commercial Corporation (CCC).

The report, based on documents allegedly obtained by ZBM, suggested that it was Aecon that contacted the CCC about a substantial project in Bermuda and that Aecon had contacted Mr Richards indirectly about the redevelopment to put things into motion so that it would be awarded the contract.

The report further alleged that Mr Richards indicated to Aecon’s intermediaries that he had the power to disregard the typical competitive procurement process in favour of an approach that would benefit the country and that he wanted to see a draft memorandum of understanding (MOU) for the project.

According to the report, Steve Nackan, the president of Aecon, was then requested to provide the Finance Minister with a list of expected questions about the signing of the MOU, and that Mr Nackan wrote to the CCC to inform it that Aecon had committed to doing so. The report also suggested that Mr Nackan then requested the use of the CCC logo as a front for a trip to Bermuda to discuss the project.

However, Mr Richards, who returns to Bermuda this week, said that the alleged “news story” has twisted the facts in an attempt to throw into disrepute the process by which the discussions for this project began.

“If ZBM had simply asked us about this before they put this innuendo on the air, there would be no concern,” he said.

Mr Richards said that his statement to the House of Parliament that the CCC selected Aecon is 100 per cent accurate.

He said the errors of ZBM’s stories include the chronology of events.

The Finance Minister made it clear that he first met Mr Nackan on June 4 last year in Toronto, as head of a government delegation that included the Attorney-General, the financial secretary and the airport general manager.

“Everything that we have done with regard to CCC and Aecon has been above board and by the book,” Mr Richards said. “Once you know the chronology of events, all the other things in the documents make more sense and become totally harmless.”

It was announced in November last year that the Government had entered into a public-private partnership with the CCC to redevelop the airport.

The Progressive Labour Party raised concerns in March about the deal because of the position on the board of Aecon of Michael Butt, a prominent figure on a local construction firm.

At that time, Mr Richards responded to accusations that the Government had acted inappropriately in awarding the project to Aecon by saying that it was the CCC that made the decision.

“They chose Aecon because they’re one of the biggest developers in Canada and they’ve got experience in doing this kind of thing,” he said.

“Throwing some kind of mud to see what sticks is not the kind of behaviour that a group of people who say they support our project in principle would do. They don’t support the project and they’re trying to trash it wherever they can.”