Lawsuit launched against black mayor group
The Corporation of Hamilton has launched a lawsuit against the organisers of a black mayor conference in an effort to retrieve funds spent on the event.
While Conference of Black Mayors Inc had insisted that the convention would be held in the City this month, the event has yet to come to fruition.
A spokeswoman for Home Affairs Minister Michael Fahy — who took stewardship of the Corporation in January — confirmed yesterday that legal actions had been launched “to retrieve monies incurred by the Corporation relating to the conference”.
The full sum paid by the Corporation to the Atlanta-based organisation is unknown, but documents obtained by The Royal Gazette last year said the Corporation had agreed to pay $100,000 to the organisers and had earmarked a further $250,000 for conference-related expenses.
The lawsuit is the latest in a series of controversies surrounding the event.
Deputy Mayor Donal Smith said in November of 2013 that the National Conference of Black Mayors (NCBM) would bring 400 to 700 people to the Island in October 2014, although it was later revealed that the Atlanta-based organisation was in dire financial straits and the leadership was in question.
While executive director Vanessa Williams had claimed to be in charge of the organisation during talks with the Corporation, a United States judge found that Sacramento mayor Kevin Johnson was the rightful head of the group.
Mr Johnson said he knew nothing of the Bermuda conference, and the event would not take place on the Island under his leadership. It was also revealed that Ms Williams was fired by the NCBM after the scale of the group’s debt under her management was exposed.
Ms Williams reportedly failed to cooperate with an internal audit of the organisation, which revealed that she had spent $600,000 of NCBM funds on personal expenses.
However, Ms Williams continued negotiations with the Corporation for a Bermuda convention, claiming that the NCBM had changed its name to the Conference of Black Mayors (CBM) but the new body was the same organisation. Documents show that the CBM was set up independently by Ms Williams.
Despite the issues, Government announced last May that it would lend its support to the event. At that time, Sen Fahy said: “As the Minister responsible for municipalities I publicly advised that, before the Ministry could endorse such an event, I too had to be satisfied that all was in good order and that this event was in the best interest of the City of Hamilton and Bermuda, before we could support the Corporation’s efforts.
“At my request the Mayor and his team undertook to do their due diligence to the point where I, as Minister, was content with the information provided. Today, I am satisfied with the discussions I have had with the Mayor and his team and therefore thought it was only fitting that I publicly stand in support of the Corporation’s efforts.”
The event was supposed to take place in October 2014, but it was later delayed, with organisers stating it would run from April 12 to 16. In January, it was revealed that the Corporation had written to Ms Williams requesting an account of the funds paid to the organisation. Sen Fahy later said it was “highly unlikely” that the event would take place.