In the past week we've told you about the many maneuvers by Jeffrey Prosser and the board of BTL which he controls. Most notably, he got his board to pass a resolution agreeing to the issuance of 24 million new shares, which would dilute and devalue everyone else's holdings and give him control of the company. Well now it seems that someone's ready to try and stop him, and the man leading the charge is former BTL owner Michael Ashcroft. But he's not coming alone, Ashcroft has gotten the trade unions to join his cause.
This afternoon attorney Lois Young-Barrow filed an action against BTL in the name of the PSU, the BNTU, along with Ashcroft's companies, Carlisle Holdings, Belize Holdings and Mercury Communications. The application asks the court to appoint a competent inspector to, "investigate the affairs of BTL." The affidavit obtained by 7NEWS is from former BTL Chairman Nestor Vasquez and it details to the court various maneuvers that have put Belize's most profitable company in an injurious position.
These include the costly and secret lease agreement that BTL has with Prosser's ICC. It also challenges the proposed issuance of 24 million new shares and questions the decision to make BTL buy Intelco's assets from Prosser's company and not directly from Intelco. The action is also seeking an order restraining BTL from changing its authorized or issued share capital. It states that three affidavits are being filed in the names of Nestor Vasquez, PSU president Dylan Reneau and BNTU president Anthony Fuentes.
How did it come to this and particularly, what forged the somewhat curious alliance between Ashcroft and the unions? Well, they all had to combine because under the companies act, to force an investigation, shareholders must represent at least a 10% stake in the company. Ashcroft reportedly had 8% with his combined holdings and the unions chipped in for the other 2%. They hope now to force disclosure of every detail of BTL's management, while stopping Prosser from committing what they believe is a fraud on the minority with the issuance of new shares. It's a powerful play by these now allied forces and its left to be seen how Prosser's board and the government will respond.
