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OBA waits for answers on Oarrs settlement

Still waiting: Craig Cannonier, of the One Bermuda Alliance (File photograph by Blaire Simmons)

The One Bermuda Alliance has renewed calls for the Government to reveal details of a failed contract that may have cost the taxpayer millions of dollars in compensation payments.

Craig Cannonier, the Opposition Whip, made the call almost three weeks after asking David Burt, the Premier and Minister of Finance, for information regarding the Government’s settlement with Oarrs Inc, a debt collection agency hired to collect unpaid taxes.

The firm claimed it recovered $13.5 million in unpaid land tax for the Government between September 2020 and June 2021.

However, the contract was revoked by the Government after it learnt that Oarrs did not have a licence.

The company filed a civil writ against the Office of the Tax Commissioner in July 2021, alleging it was owed almost $2 million for tax collection services.

The Government eventually agreed to settle out of court in 2022, but has never revealed how much the deal cost taxpayers, despite requests for details from The Royal Gazette.

Mr Cannonier raised the issue during a question period in the House of Assembly on December 13 last year.

He said: “Back in May of 2022 it was announced that a settlement had been made with Oarrs and we still are not aware of how much that settlement was with Oarrs.

“I’m wondering if the Premier could let us know what was the settlement considering many people are asking questions that this company may have, in their estimation, [been] acting illegally as a company debt collecting and understanding that the former finance minister put it to task and they were put out of business for that particular contract. So can the Premier tell us how much that settlement was?”

Mr Burt initially denied that he had any involvement in the matter, as he was not finance minister at the time of the settlement.

He said: “That matter was not handled while I was the Minister of Finance so I don’t have direct knowledge of it. I do know there was a particular settlement. I will seek to get the particular information but I’m reasonably certain those things may have been declared.

“If they are not subject to any agreements I will make sure that information is shared.

“But I seem to remember that back when this was done, I’m reasonably certain it was in the public domain, but I do not have that information.

“I know that I was not dealing with this particular matter in my time. I have undertaken to get that information. I’m sure there are technical officers listening that might get information for me.”

Mr Burt was later admitted that he was the Minister of Finance when the settlement was made — after being reminded by former finance minister Curtis Dickinson.

He said: “Having spoken to the honourable member for Constituency 21, the former Minister of Finance, it is correct that the settlement was entered into during my time as Minister of Finance so I apologise for that.”

Mr Burt said that while he “wasn’t particularly dealing with that matter” the settlement “did take place under my time as Minister of Finance and I will seek to get the information to the honourable Member”.

“I will write to technical officers and get it as I do not actually recall the specific details of what was done there.”

According to Mr Cannonier, he has yet to receive an answer from Mr Burt almost three weeks later.

Yesterday, he said: “I asked the Premier to provide Bermuda with how much he settled out of court for with what was deemed an illegal debt collector named Oarrs. Let me clarify to say that it was Government’s lawyers Trott & Duncan who stated they were acting illegally.

“Under what appeared to be a suit of $2 million by Oarrs, it was eventually found that Government settled for an undisclosed amount. Keep in mind this goes back several years now and the public have no clue how much the Premier and the Attorney-General gave this illegal company.

“We are now entering 2025 and still the Premier has no answers. That hardly sounds like a fairer Bermuda.“

The Premier did not respond to requests for comment from the Gazette by press time.

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Published January 03, 2025 at 7:59 am (Updated January 03, 2025 at 8:12 am)

OBA waits for answers on Oarrs settlement

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