Financial analysis was flawed says Glasgow

THIRTEEN YEARS AGO Accountant Brian Glasgow was employed with the auditing firm Coopers and Lybrand, which had a mandate to prepare a management audit and financial forecast review for the Ottley Hall Marina.

Glasgow spent two months at the site compiling data for his report, and at the end of it all he was surprised that the project got as far as it did.{{more}}

Glasgow, in his one hour long testimony, said at Wednesday’s sitting that his own evaluation revealed that there were, among other things, extravagant specifications, flawed analyses, and overly optimistic assumptions which contained conflicts of interest.

He said that his company carried out an inventory of what was supposed to be at the venue compared with what was actually there and found that many vital pieces of equipment were absent, used, or not in accordance with specifications. The prices of some of the equipment according to Glasgow, were in excess of what they could be obtained for.

According to Glasgow, a feasibility study conducted on behalf of Valdatarro, could not have been considered a serious document since it did not contain some of the key elements of a feasibility study, namely a balance sheet, an income statement, revenue assumptions and a cash flow assessment.

The document which Glasgow said was compiled on one sheet of paper was obviously untoward, but was still acted on.

Glasgow, in his opinion stated that the board of Caribbean Chartered and Yacht Yard Holdings Ltd. (CCYY) was not involved in any decision making process. He said that it seemed that Dr. Rolla was the sole decision maker of consequence. He also opined that Rolla appeared to be the central figure in the entire project with overall authority and appeared to answer to no one.