MEMBERS' Register of Interests Committee chairman Trevor Moniz has accused former Tourism Minister Ren?e Webb of being the chief instigator of a change in Government policy that benefited her financially.

Ms Webb has been paid $200,000 in commissions linked to Government business as a result of the 2001 Cabinet decision that required Government pension fund managers to pay 30 per cent of commissions to Bermuda-based companies, as revealed two weeks ago by this newspaper.

Given the principle of collective Cabinet responsibility, United Bermuda Party MP Mr. Moniz said, Ms Webb was guilty of "self-dealing".

And he called on Premier Alex Scott to enunciate a code of conduct for Cabinet members.

Ms Webb was paid the commissions by Maximum Financial Ltd. (MFL) ? a company in which she has a 12 per cent stake. And she admitted to the that MFL "didn't have to do anything" for the income received from the Government-related business in question.

The Progressive Labour Party backbencher assailed the for publishing details of her private business relationships and said there was nothing untoward about her receipt of the commissions because her shareholding in MFL was recorded in the MPs' Register of Interests.

But Mr. Moniz said Ms Webb had only recorded her involvement with MFL after coming under pressure from the media.

"I recall that, as chairman of the Register of Interests Committee, I got a call a couple of years back from the media, and it was as a result of that call that I contacted Ren?e, who was out of the country at the time, and told her by e-mail that questions were being asked about this company (MFL), and it was only as a result of that inquiry that she agreed to put her shareholding in MFL on the register," Mr. Moniz said.

"She didn't declare that commission, she only declared that she was a shareholder of Maximum, not that Maximum had a contract that would benefit from Government-related business. Her declaration was the minimum amount she was asked to do at the time.

"I am deeply concerned about it, and I think that the Premier needs to answer some questions about the code of conduct which he has for his Ministers, and what was declared. My understanding is that Ms Webb directly solicited this change of policy from Finance Minister Eugene Cox, so it was as a result of direct solicitation from a fellow Cabinet member that she received that business.

"She uses this front that she somehow wants to advantage black people, but the more cynical would say that she is really trying to advantage herself. She's confusing her own enrichment with the economic empowerment of black people generally.

"I think it would be an interesting exercise if Ren?e were to put in writing her justification for her actions. What she's forgetting, and what no one has put forward in the correct words, is the concept of collective responsibility for Cabinet actions, so when she goes and solicits work from a fellow Cabinet member, she is effectively soliciting work from herself. That is self-dealing. When you look at the situation, how can we be assured that this is not 'kickback'?

"I am really concerned, and from my point of view, as chairman of the Register of Interests, we don't have a huge amount of powers; we have no summons powers and we have no punitive powers," said Mr. Moniz ().

"The only powers we have are investigative, which is difficult to do without summons powers, and we make a report to the House. We can only ask people to tell their story and piece it together with whatever else we know, and make a report. I can ask her to, but I can't force her to do so.

"She is telling us that everything she did was approved by Cabinet, and the Premier needs to come forward and say that this was the case, and exactly what it was they approved.

"Normally, there's the principle of Cabinet secrecy, but, of course, she has breached that by saying she took it to Cabinet, and it was approved. We are now entitled to know exactly what was approved.

"Let's see the Cabinet minutes; they have official minutes, where official business is put and voted on, and a resolution is reached. Where is the Cabinet minute referring to her interest in this investment company?"

Ms Webb told the last Friday that MFL was not the only local company to profit from the "directed brokerage" arrangement, and that LOM and Emerald Financial had also received some of this business, although she was unable to give the proportions received by each company.

The reported two weeks ago that Ms Webb had "received a share of commissions earned by MFL"; in fact no revenues can be said to have been "earned".

When asked what benefit the pension fund managers had received for trading through Bermuda-based entities, she said that the local companies "didn't have to do anything" to receive a share of the brokerage.

Ms Webb received almost $200,000 for her share of "directed brokerage" paid to MFL in 2003 and 2004, and neither Paul Comesky, CEO of MFL, nor Ms Webb disputed the accuracy of that number.

The arrangement allows Ms Webb to receive the majority of the brokerage paid to MFL as a result of pension fund managers being expected to adhere to the policy of paying 30 per cent of their commission to Bermuda-based companies.

It is now understood that the monies received by Ms Webb cover the period from inception of MFL in 2001 through 2004.

The reported this week that Ms Webb said "her dealings were above board as they were listed in the register of interests".

However, the register does not not reflect MFL's receipt of Government-related business.

When asked, Ms Webb was unable to recall her share of the brokerage received, but it is understood that while she owns just over 12 per cent of MFL, she receives well in excess of 50 per cent of MFL's receipts from pension fund-related trades.

also reported that Ms Webb told the House of Assembly last Friday, shortly after talking to the , that "when the PLP had taken power it had learned there were $1.5 billion of Government investments overseas, including pension funds", and that "Government, in its wisdom, looked at how companies in Bermuda could benefit".

She added that a policy had been set up where 30 per cent of all brokered trades had to go through Bermuda companies.

When asked when and how that decision had been taken, Ms Webb told this newspaper that the decision had been taken by Cabinet in 2001, that she intended to raise the matter in the House, and that "a lot of people in the House will be surprised to hear about it".

According to the Ms Webb alleged that "there were about eight Bermuda companies which benefited, including Bob Richards' company Bermuda Asset Management, LOM, and the banks". Ms Webb did not explain how any of those other companies benefited.

However, Bermuda Asset Management, owned by UBP Senator Bob Richards, had managed in excess of $20 million of the Government pension funds until 2002, before and after the PLP came to power, and he earned fees for that service, as do all fund managers.

Ms Webb described Mr. Richards as a beneficiary of the new policy, but, in fact, as a fund manager, he was still expected to transact 30 per cent of his trades through Bermuda-based entities, despite being Bermudian himself.

Also, if by "the banks", Ms Webb meant the Bank of Bermuda and the Bank of N.T. Butterfield, it is understood that neither bank managed any of the Government pension funds after 1998.

The reported that Ms Webb told the House that "this has been going on for five years, it's nothing new. What is the ( story ? maybe implying I made $200,000 and no one else was making anything?"

However, Ms Webb told us that this arrangement started at some point in 2001, three years after the PLP came to power, and it would appear to have been news to many members of the House and to the general public.

Ms Webb went on to say, according to the that "about 15 investment managers had benefited", but did not name them or explain from what or how they benefited.

When asked whether she was concerned about either the fact or the perception of the MFL arrangement, Ms Webb insisted that she was not, and accused this reporter of naivet?. She added that "it's how the world works".

As she did shortly afterwards in the House, she suggested that local companies headed by Opposition Leader Dr. Grant Gibbons and Shadow Health Minister Michael Dunkley benefited from Government contracts in that the Gibbons Company sold prison overalls to Westgate, and that Dunkley's Dairy had a contract to provide milk.

When asked whether she thought that most people would distinguish between the normal provision of goods or services for payment and the receipt of monies for no apparent service, she disputed that there was any difference.

In a letter to the editor of investment manager Bob Richards wrote: "An ethical breach does not occur when a member of Government, in his or her private capacity, had business with the Government so long as that business is declared.

"A breach occurs when Government officials manipulate the system for private gain. A breach also occurs if a Government minister (Ms Webb) and a chairman of a Government committee (Calvin White) solicit investment management firms to use their brokerage firm when that investment manager is retained by that same committee, which in turn is a creature of that same Government. How can you refuse someone who can fire you?"

Emerald Financial Group, LOM Group and Cabinet secretary John Drinkwater did not respond to calls by press time. Ms Webb did not return calls this week.