Kamla: Secret deal in ferry scandal

“Letters of credit (LOC) are not revocable,” she said, citing Lord Diplock in a 1958 case.

“The bank cannot withdraw from its liability to pay, even if instructed by the buyer to cancel the credit.” Persad-Bissessar challenged Prime Minister Dr Keith Rowley to state what legal notice had been issued to FCB to revoke the letters of credit for Ocean Flower II and for Cabo Star.

“So our country now has to pay for this boat over $20 million, all without doing sea-trials,” she said. “If you were buying an old car, you would test run the vehicle,” she added, scoffing that the Lloyd’s inspection had been limited to superficialities such as the boat’s signage.

Persad-Bissessar said the LOC payments kicked-in in two parts: when the charter-party was signed and when the vessel reached TT Wednesday, an arrival she dubbed, “very suspicious.” She then asked if someone was getting a secret payment in the ferries deal.

She said charter-parties contracts for both the Cabo Star and Ocean Flower II contain a section 34 that suggested that Bridgeman’s must pay someone a commission, even amid aspersions being cast on the Port Authority of TT.