Fri | Feb 23, 2018

Finance Ministry withdraws moratorium to O’Brien International

Published:Thursday | December 14, 2017 | 1:33 PM
Manager of O'Brien's International, Clement Ebanks. – File Photo

​National Security Minister Robert Montague has revealed that the Ministry of Finance has withdrawn the moratorium granted to the company contracted to supply cars to the Jamaica Constabulary Force.

A moratorium was granted for 66 cars that have been sitting on the wharf.

Speaking on Hotline on RJR this morning, Montague said Cabinet has been informed of the decision. 

He said this came after receiving legal advice from the Attorney General’s Chambers.

 

National Security Minister, Robert Montague speaking with Hotlines host Emily Shields

According to Montague, the AG advised that the ministry is not liable to pay the General Consumption Tax and the Special Consumption Tax being charged by Jamaica Customs on O’Brien International Car Rental and Sale.

The ministry has refused a request from O’Brien International for it to pay the taxes which amount to about $14 million.

Montague said he and the ministry are steadfast in their position O’Brien International should pay the taxes.

The ministry has already called in a $42-million performance bond supplied by O’Brien International as a condition of the contract.

The company was awarded a contract valued at over $400 million in January to supply 200 vehicles.

To date, only 30 vehicles have been handed over to the ministry.