ASR/BSI has filed a lawsuit against the Belize Sugar Cane Farmers Association and four of its farmer - members.
The claimant is Belize Cogeneration Energy Limited (BELCOGEN) and the claim says that the BSCFA, quote, "…authorized, instructed, and encouraged the (named farmers) to commit trespass over BSI's land and unlawfully block cane farmers' access to BSI's Mill" End quote.
According to BELCOGEN, this blockade caused them to lose revenue from the sale of electricity to BEL and to BSI's Tower Hill compound.
Court files say that on December 28, 2021, the defendants entered BSI's press and blocked the entrance to the mill… "despite repeated requests by BSI's staff and agents."
This unlawful interference, according to the BELCOGEN, lasted for a period of 3 days.
The document is signed by Shawn Chavarria, the BELCOGEN's Director of Finance, who is also Director of Finance at BSI.
If the court agrees with their position, BELCOGEN is asking for damages, and special damages of a little less than 565 thousand dollars, costs, any further reliefs that the court may deem fit.
Multiple sources tell us that there is also a similar lawsuit that Belcogen parent company BSI/ASR has also filed against the BSCFA.
This morning, we spoke with Agriculture Minister Jose Mai who was on his way on to El Salvador on an official trip. Here's what he told us via Zoom:
Hon. Jose Mai, Minister of Agriculture
"There are 2 different claims; one is from BSI and one is from BELCOGEN. And they are addressed to the cane farmers association and to individual farmers, I believe it is. I am not surprised that they have file claims. I have been around them for a very long time to know how they operate. It's a corporate world, you can be sued and you can sue. The cane farmers have never use that approached in the past even though they've lost millions of cane that's left in the field, but it's a wakeup call for them, but its a business world and they, I believe this should have been anticipated. They are in their legal right to do so. We are disappointed, angry, I should say, but it is what it is. I don't want to prejudice the outcome of this matter and so I have to seek guidance from our legal minds and our prime minister. I would tell you that nobody is pleased to hear this. I believe it's not in good faith to that advance the objectives of having the good sugar industry sector."
We also asked the Agriculture Minister if the farmers are expecting any kind of government intervention on this lawsuit. At the height of the unrest, Prime Minister John Briceno personally got involved to try and de-escalate the rising tensions in the industry. Mai was part of that ministerial team that helped to mediate a quick end of the protest. On New Year's Eve, our colleagues from CTV3 News asked him about government commitments that helped in that process. Here's what he had to say then, and why that promise is of importance now:
FILE: December 31, 2021
Reporter
"Any promises had to be made for any of the parties in order for them be this breakthrough?"
FILE: December 31, 2021
Hon. Jose Mai, Minister of Agriculture
"Of course, I think there was some communication that was sent to BSCFA indicating that there may be intention for the mill to probably sue for damages caused by this demonstration, but our prime minister made a commitment to the farmers that the government will definitely intervene on this matter and that this would not be the case."
Hon. Jose Mai, Minister of Agriculture
"You will recall that in an effort to end the impasse, the prime minister was directly involved with the cane farmers along with myself and other people and to end the impasse the prime minister committed to the cane farmers that if there would be any lawsuit against the association, government would indemnify the association. I believe this is what ASR have used as an opportunity, but they meant the prime minister has all intentions to do so. He will keep his word to the farmers, he will honour his commitment, he has no intention to back down I am certain, but we have to fight that in the courts, definitely."
This morning, we contacted BSI/ASR for comment, and several hours later, the company issued a press release which says, quote, "The company views the December blockade of the mill as illegal because it exceeded the principle of civil protests and was operationally and economically damaging to not only the mill but also farmers that sought to honor their contracts and deliver cane to the mill. In a meeting held on December 16, 2021, the BSCFA had threatened BSI that it would disrupt milling operations and as such, our attorneys wrote the BSCFA stating that if they proceeded with any illegal interference of our business, BSI would avail itself of every legal recourse available. After careful consideration, BSI [is] determined to seek full, legal redress for the illegal blockade because it believes that adherence to the rule of law is critical for the long-term success of the sugar industry." End quote.
