Govt ‘raiding’ catastrophe fund

Leader of the Opposition Rev Joseph Atherley today accused Government of “raiding” the Catastrophe Fund even as fellow lawmakers moved to create it.

The St Michael West MP was speaking in the House of Assembly on the Catastrophe Bill Fund, when he urged Government to use other alternatives to help struggling businesses. He urged that the fund should not be touched for now.

Rev Atherley said: “I don’t support the approach of a raid on the Catastrophe Fund and the justification used as a premise for that. The money is going from the Catastrophe Fund to businesses who have filled their VAT returns.

“You are taking about a certain level of business operation in Barbados. Why not facilitate the loan from the same VAT payments if current legislative arrangements don’t allow that why not make changes.”

The leader of the People’s Party for Development said that there were other ways to find money, but insisted the Fund not be touched.

He said: “We have seen waivers of VAT owed to Government and have been approved. So you waved multi-millions of dollars in VAT payments for the businesses, now you take the Catastrophe Fund to facilitate loans to businesses.

“My question is: Can’t money derived through payment of VAT be used for this same purpose? There are businesses in Barbados right now that owe Government a lot of VAT. Rather than raid the Catastrophe Fund collect the VAT that had been long outstanding.-

The Opposition Leader said the money must be accessible should the country fall victim to a natural disaster.

He told the House: “If the whole of Bush Hall Yard Gap, in your constituency or the whole of Savannah Road or Park Road is wiped out by some natural disaster impact you want to know that they are funds available immediately and urgently so to help with the response. We have to be careful in what we do.”

But transport Minister William Duguid rose on a point of order asking that the word “raid” be struck from the record.

He said “I could not in all decency allow the honourably member to suggest that the Government is mounting some sort of raid of the Catastrophe Fund. The pandemic we are facing is a catastrophe of the world. There is no suggestion that it is something that is simple.

“It is not only a health crisis it is a significant economic crisis  and if we have a fund set up there to protect the people of the country in  catastrophe of which we are in then we have to be prepared to access it. It is not a raid.

“For the honourable member to suggest it is a raid of some sort is clearly misleading the House. I ask that that kind of language be struck from the record.”

In continuing to address the chamber after Dugiud interrupted, Atherley repeated the word “raid”.

He declared: “I support any attempt to help businesses. But I am not sure that the way to do it properly and prudently includes what I see as a raid on a Catastrophe Fund set up for a specific purpose.

“What I do have a problem with is the way it is being done I do not believe that the justification offered by spokespersons for the Government as to why a recourse should be made to the Catastrophe Fund in this instance is acceptable. I can only tell you how I feel, you may differ with me on that.”