Marcus De Freitas has received $4.7 million for his Beachmont property- PM Gonsalves

On Wednesday morning January 8, 2025, during the question and answer segment of the meeting of the House of Assembly, Prime minister, Dr Ralph Gonsalves, proceeded to set the record straight on issues surrounding payment for the property of Marcus De Freitas at Beachmont that was acquired by the government.

Gonsalves, speaking as Minister for Legal Affairs, was responding to a question on the matter asked by Member of Parliament for East Kingstown, Fitzgerald Bramble.

Putting forward the question, Bramble said, “In 2014, a final court judgment was made where the Government was ordered to pay former Parliamentarian and Government Minister and constituent of East Kingston, Marcus De Freitas, (EC)$4.7 million for the acquisition of his property in the Beachmont area for the construction of a new Parliament building. The Government was given two years to pay the money in full, or pay a 5% penalty per year for each year the money was not paid to Mr. De Freitas.

“Will the honourable minister please (1) … Indicate whether Mr. De Freitas has been paid the 4.7 million owed to him and when this payment was made? (2)… If Mr. De Freitas has not been paid the full amount, why has he not been paid? …. And (3) … if the response to Part 2 is negative, when will Mr. De Freitas be paid the full amount?”

In response, Prime Minister Gonsalves stated: “I’m answering this in the capacity as Minister of Legal Affairs, because this is where it is lodged, because it’s a matter which has involved a Board of Assessment. The question begins: in 2014 a final court judgment was made where the government was ordered to pay the former parliamentarian, government minister and constituent of East Kingstown, Marcus De Freitas, $4.7 million for the acquisition of property at Beachmont for the construction of the new Parliament building.”

“There was no court judgment for 4.7 million dollars. In 2003-2004, the Government of St. Vincent and the Grenadines, under the law, acquired the property of Marcus De Freitas, called De Freitas Investment Holdings, asked for the matter to go before the Board of Assessment as allowed under the Land Acquisition Act. He had valued the property for payment by the government of $1,743,785.00. That sum was subsequently, at the Board of Valuation, increased by the government representative by $200,000.00 to $1,943,785.00.

At the time, the Board of Assessment consisted of Justice, Frederick Bruce Lye as Chairman; John G. Thompson, now deceased; and Greg S. McLeod. John G. Thompson did not agree with the findings of the Board of Assessment under the law, of which the final verdict was two to one,” Gonsalves responded.

“That Board of Assessment judgment, dated 2nd October 2008, awarded $4.2 million, plus $20,000 cost. Additionally, the judgment was to attract a 5% interest on the whole of the judgment. Subsequently, the government appealed the decision, and the Court of Appeal heard the matter on the 25th November, 2010.

“The Justices of Appeal referred the matter back to the Board of Assessment for a new assessment, so a new Board had to be established. Although the Chief Justice named the chairman, and the government of St. Vincent and the Grenadines named its representative, De Freitas Investment Holdings failed to name anyone.

“With the Board of Assessment unable to convene as a result, the Prime Minister said to his Cabinet colleagues, ‘this thing is going on too long and I’d like to bring closure to this thing before we do anything up there, either with the Parliament next door or the Hall of Justice’.”

The NIS did purchase the adjoining property which was Bishop Woodruff’s residence, and subsequently, the government bought that from the NIS; the government now being the owner of both properties.

“In 2004 the original payment of $1,743,785.00 which was the figure as reached by the government’s assessment. Payments continued to be made, and “the total amount of monies paid thus far is $4,743,785. All the monies were collected in 2004- 2021 money, 2022 money, the last money is 2024. The last tranche of the money was paid in 2024, and that it was collected on the 19th of February 2024,” Gonsalves responded.

The prime minister admitted in Parliament that civil servants questioned him on his action.

“The people in the Ministry of Finance said to me, ‘Prime Minister, what are you doing? An assessment was done by the government valuers. The Court of Appeal said there should be a new Board, but you have taken it upon yourself to go to the Cabinet to have increased monies paid’? I don’t want contention on this thing.”