Former Caroni workers owing $46M

Former Caroni sugar workers face an even grimmer future as the Sugar Industry Labour Welfare Committee (SIWC) moves to collect $46 million in arrears. SIWC’s chairman, Lennox Rattansingh, told Sunday Newsday that $46 million are outstanding by the ex-sugar workers and the board has a legal obligation to collect the debt. Approximately 1,100 ex-sugar workers owe varying sums and last week SIWC issued notices to them requesting they settle their arrears within 14 days.

The SIWC granted loans to sugar workers who were employed with the now defunct Caroni (1975) Limited. The loans were granted for a 20-year period in accordance with the SIWC’s Act at the rate of five percent interest for the sole purpose of constructing house. The Act, Rattansingh said, binds the SIWC to grant loans only to persons involved in sugar cane production, which automatically qualifies only sugar workers employed by former Caroni.     Rattansingh agreed that Caroni’s closure, which resulted in 9,000 sugar workers being sent home on VSEP in July of last year, raised questions about the legality of the ex-sugar workers’ obligation to repay their loans.

Thackoorial Lutchman, 59, of Rochard Douglas Road, Barrackpore, is one such ex-sugar worker who built his house with an SIWC loan. An SIWC letter to him stated that his account balance is $58,609.81. He is in arrears of $2,869.03. “You are required to settle this account within 14 days or visit the San Fernando sub-office.” Several indebted ex-sugar workers have consulted Senior Counsel Ramesh Lawrence Maharaj SC, who will address the issue on August 8 at a meeting to be held at the Naparima Bowl. Maharaj said Caroni’s closure is not the doing of ex-sugar workers but of the Government.

Maharaj said he would challenge in the court, any attempt by SIWC to force repayment of the loans or levy on the indebted ex-sugar workers’ houses. But Rattansingh said that while he empathised with the plight of the indebted workers, SIWC had to do its duty under the Act.  However, the chairman said that the SIWC was currently seeking an amendment to the Act to incorporate non-sugar workers into its loans programme. Such persons, he added, would include workers in the newly-formed Sugar Manufacturing Company and other agricultural sectors.