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Government takes control of Corporation’s financial administration

The Minister of Home Affairs Michael (Photo by Akil Simmons) ¬

Government has taken control of the Corporation of Hamilton’s financial administration after the municipality was charged with a string of good governance violations.

At a press conference this afternoon, Home Affairs Minister Michael Fahy said that the decision was “regrettable”, but that it was made “in the best interests of Bermuda”.

Last week Ombudsman Arlene Brock filed an in-depth report citing numerous examples of maladministration at City Hall, including questionable expenditures, potential conflicts of interest and an increase in retroactive and unsigned resolutions. Ms Brock was also critical of the way in which the $300 million waterfront development project was tendered, concluding that the process was heavily flawed.

“These actions were all called into question,” Mr Fahy said this afternoon.

He said that at around 1pm today he “served notice on the Corporation of Hamilton advising that the Government via the Minister of Home Affairs will temporarily assume stewardship of the Corporation’s financial administration and treasury functions, with immediate effect”.

Essentially this means that all financial matters are to be overseen and carried out only upon the authorisation of the Minister of Home Affairs.

“This includes tendering, accounts receivable, accounts payable, purchasing and all other money management matters.

“Corporation of Hamilton vendors should verify the originating authority for the purchase of any product or service, inclusive of legal services, before providing them.”