Tue | Apr 25, 2017

Government signs MOU with logistics hub interests Krauck Systems

Published:Wednesday | April 22, 2015 | 4:48 AM
Anthony Hylton

Despite a wave of mounting concerns, Industry, Investment and Commerce Minister, Anthony Hylton, has made good on his promise to sign a Memorandum of Understanding (MOU) with Krauck Systems and Anchor Finance Group LLC.

The companies would like to invest US$5 billion into the government's Global Logistics Hub Initiative.

However, there have been concerns raised in several sectors about the legitimacy of the companies.

The Opposition had demanded that the signing be put off until more information is released to the public.

According to a release from the Industry Ministry last night, the non-binding MOU was signed yesterday evening by Hylton, Works Minister, Dr Omar Davies and representatives from the two companies.

According to the Industry Minister, the MOU will create an environment of mutual trust and confidentiality in which both parties can share information, discuss specific projects and adopt reasonable measures to ensure the realisation of the objectives of the logistics hub.

The MOU stipulates that a joint team will be named by Hylton and Dr Davies to discuss the projects that will form part of the integrated approach for the development of the Hub with the companies.

It also specifies that an initial meeting of the parties will be held to complete the due diligence requirements, define the specific roles and technical capacity of the proposing parties; and if agreed, to determine the appropriate course concerning any procurement issues which may arise.

Krauck Systems and Anchor Finance Group LLC are required to provide reasonable feedback within a 30-day period after signing the non-binding MOU.