CASTRIES, St. Lucia - Prime Minister Phillip J Pierre Monday said that Opposition Leader Allen Chastanet was intent on damaging “the good name of the country” when he sent correspondence to several regional and international organisations questioning the transparency, governance, and financial management, including the audit independence of the St. Lucia Social Development Fund (SSDF).
Prime Minister Phillip J Pierre speaking at news conference on Monday (CMC Photo)“So it’s very sad, for political reasons, to damage the good name of the country, that the Leader of the Opposition go in public view and put a signature on what he knows very well is untrue,” Pierre told reporters at the weekly news conference.
“He knows very well what he did not do when he was Minister of Finance. The last statements, 2017, 2018, were done in March 2023, and the Leader of the Opposition was Minister of Finance from 2016 to 2021,”Pierre said, adding the last of the statements were given in March 2023.
Chastanet had in a July 28 letter to Prime Minister Pierre and copied extensively to several organisations including the Barbados-based Caribbean Development Bank,(CDB), foreign embassies and representatives of civil society organisations, warned of the future engagement of international benefactors, and their commitment to the development of St. Lucia.
“These issues concern the stewardship of public funds, legal compliance, and the integrity of public institutions, and must be treated with the requisite urgency and importance. It is therefore essential that the process adopted be transparent, independent, and capable of restoring public confidence,” Chastanet wrote.
But Pierre told reporters that Chastanet served as prime minister between 2016 and 2021 and that the last audit was done for the years 2017 and 2018 in March 2023.
“These audits were done in March 2023 and the St. Lucia Labour Party, we were the party in power at that time,” Pierre said, noting that upon his assuming office, the current board of directors initiated the process of auditing the financial statements of the SSDF, recognising the importance of ensuring that financial records are necessary.
He said the process initially focused on clearing the outstanding audits for the financial period 2016 to 2021 under the Chastanet government and that as part of its efforts to address the outstanding financial statements, “the board encountered challenges in obtaining the necessary supporting documents for the subsequent financial years 2017 to 2018, 2018 to 2019, 2019 to 2020 and 2020 to 2021.
“No audits were performed, none. Following extensive discussions with the auditors, the board reached a mutual agreement to proceed with the preparation of the outstanding financial statements as qualified statements,” Pierre said, noting that this approach allows the SSDF to address the outstanding years and advance the auditing process despite the documentation challenges encountered.
“The SSDF is now looking ahead and is pleased to advise that the auditors have committed to delivering unqualified audited statements for the financial years 2022, 2023, 2023, 2024, 2024, 2025 and 2025.The board is working closely with the auditors who have been appointed with the objective of having the statements finalised by the end of 2026.”
Pierre said that the only reason why statements have not been prepared is because the United Workers’ Party, under the present Leader of the Opposition, failed to present audited statements for these years.
“Honestly, I know that some politicians distort facts, but that one was incredible (and) to make it worse, I have copies of the financial statements that are prepared for the years 2017 and 2018.I have copies. They were prepared in 2023.
“So, all during the tenure of the present Leader of the Opposition as Minister of Finance, he has not prepared one set of financial statements for the SSDF and this same Leader of the Opposition, in his quest to damage St Lucia, has written the entire world, accusing us of not preparing financial statements. ”
Pierre said that Chastanet during his tenure never prepared one because of the paucity of records ”nd because the auditors could not get the proper documentation to prepare financial statements.
“So, the entire world has been told that my government failed to prepare all the financial statements,” he said, adding that he would now have to write these organisations to ensure that the country’s reputation is not damaged.
“ So, gentlemen and ladies, I just want you to understand what we are dealing with in this country. And I can make statements available for you to see the years and to see when they were prepared,” Pierre said, adding that the CDB funds the Basic Needs Trust Fund..
“I have been informed by the SDSF that reports have gone every year to the Caribbean Development Bank on the Basic Needs Trust Fund. That is why they give the money back. They refinance it every year,” he said, adding also that any one who has contributed to the SSCF has received a report on how the money was used.
“And the only reason why there’s not an audit report is because the United Workers Party party failed in their five years, and due to the paucity of the records, we could not move on” Pierre told reporters.
