One week after the Prime Minister unveiled the Ashcroft plan to buy over government's BTL shareholding - the Communication Workers Union met with two Cabinet ministers to find out what's in the plan for them. This morning at eleven, the union leadership along with advisor, former BTL Chairman Nestor Vasquez went to the Central Bank where they met with Ministers Joe Coye and Godfrey Smith.
Union President Paul Perriot told us they went to the meeting to hear what the government had to say, but did not accept the proposal to have Ashcroft hold 20% of the shares for them in a trust company called Sunshine. But Perriot says they did not flat out reject the proposal either, but the union is now in a wait and see mode - depending on what happens in court on Monday.
As we've reported (SeeBTL Union Challenges Ashcroft), on Monday, there's an injunction hearing before the Chief Justice. The Union has applied for an injunction to block the transfer of any shares to Michael Ashcroft. The Union's Attorney Michael Peyrefitte contends that according to BTL's Articles, Ashcroft cannot legally hold more than 25% of the company's shares. The injunction would then seek to bar the transfer of any new shares to Ashcroft because his companies E-com, Carlisle and Mercury currently hold that 25%.
One compelling affidavit entered in that case is that of company secretary Wilman Black. His affidavit asks the court for guidance on the matter. It quotes minutes from a March 2004 meeting when Ashcroft told the board that the Carlisle Group was effectively blocked from assuming ownership of more than 25% of the company between 1993 and 1998 by the Board of Directors which refused to recognize his permitted person status. That status was famously conferred on Ashcroft by then Prime Minister George Price the day before the 1993 election. He lost that status when he sold his shares at the end of 2003, but was again granted permitted person status by the Musa administration in January of this year.
On Monday the union will argue that because he is not a government agent, he cannot legally be made into a permitted person.
