Log In

Reset Password
BERMUDA | RSS PODCAST

BHC probe report ready in May

Investigation continues: Auditor General Larry Dennis

Auditor General Larry Dennis said yesterday he hopes to complete his report on Bermuda Housing Corporation (BHC) and present it to Parliament when it resumes in mid-May.

Mr. Dennis was appointed by Premier Jennifer Smith to carry out a full investigation into BHC one month ago following allegations in the House of Assembly of kickbacks from contractors, corruption and massive overpayments.

He told The Royal Gazette yesterday he has seconded seven chartered accountants to scour the BHC books, as well as a quantity surveyor and a painting contractor to do independent assessments of the value of contracts handed out by BHC.

Last month the Mid-Ocean News published BHC payment documents showing painting contractor Paul Young received $810,940 for seven months' work last year.

Mr. Dennis said he was "very pleased" with the response he had received from members of the public and the progress of the investigation.

"I am aiming to have my report to the House of Assembly when it reconvenes in the middle of May," he added.

There was further controversy at BHC with revelations that property manager Terrence Smith is moonlighting from his BHC office running architectural and building consultancy businesses.

Mr. Smith also hit the headlines with news that a small contractor who helped him in his lavish renovation of his house in Tee Street, Devonshire, claimed he had been thrown off of BHC jobs after he tried to bill Mr. Smith for some of the work he did on his house.

BHC general manager Raymonde Dill was suspended more than a week after Mr. Dennis' investigation was announced. BHC finance manager Robert Clifford was suspended the following day.

In statements announcing the suspensions, the BHC board of directors said the moves should not be construed as implying either man had been involved in wrongdoing. The suspensions were to protect both the professional reputations of the men and the "integrity of the investigation".

Health and Housing Minister Nelson Bascome has said anyone found guilty of wrongdoing at BHC would face the full legal consequences, and Mr. Dennis has said he will pass files to the Attorney General's Chambers if he finds evidence of criminal activity.