Mystery surrounds how Government is deploying its lobbying muscle in Washington, DC despite nearly $300,000 being paid out to professional lobbyists last year.

According to US Department of Justice figures released to The Royal Gazette, Government paid out $267,692.06 in 2001 - more than double what was spent in the previous year, $115,432.50.

The Ministry of Finance was contacted on the matter but would only say: "Yes, the Ministry retains a consultant in Washington to assist the Government of Bermuda in its discussions with US authorities on matters of mutual interest."

Government did not release what is paid for consulting services and it is not clearly marked in the Budget.

The information is however public record in the United States which also revealed that Bermuda's lobbyist on the tax front remains Kenneth Levine - who has acted on Government's behalf for well over a decade now.

Of the total amount paid to lobbyists for 2001, only one-fifth, or $57,569.06, was listed as being paid to Mr. Levine's firm Levine & Company during 2001 and activity was only recorded through April of last year.

The Department of Justice - which requires twice yearly filings - indicated that no filings had been received from Levine & Company since the end of April. It is however customary for lobbying firms to make filings even if there has been little or no activity on behalf of the client during a period.

The activity by Levine and Company through April, 2001 was listed by the Justice Department as: "The registrant monitored congressional and executive branch activity in the area of investments and tax policy. And the registrant contacted congressional staff with respect to tax legislation."

The bulk of the remaining funds spent last year, $209,643, went to Garvey, Schubert & Barer for: "Research, advice and counsel to the foreign principal in connection with the scope and obligations of the US Navy for environmental clean-up and valuation issues under US law and related authorities arising from the US Navy's closure of the Bermuda Naval Station and associated properties."

Just under $500 was also paid out last year to law firm Ropes and Gray for consulting done on US policy. Ropes and Gray had previously acted on behalf of Government on tax matters with the total amount of monies going to lobbying in 2000, $115,432.50, paid out to the firm for "analysis of legislative proposals and met with US Government officials concerning the treatment of Bermuda in a tax compliance project".

Ropes and Gray lobbyist Stephen Shay said Bermuda had commissioned him to do "very little" over the past two years. He added that he was no longer representing the Island as Government had "terminated the agreement" in recent weeks.

No information pertaining to lobbying in the current year on behalf of the Government was yet available from the Department of Justice.