Lack of documents stymie probe of cable company

PARTNERS IN the subscriber (cable) television company, Cable 'R' Us, which used to be operated in Red Hills and adjoining areas of St. Andrew, say they are being frustrated in their efforts to collect US$150,000 (about J$6.75 million) from the operator of Logic One cable company, to which they sold the business about three years ago. To date they have not received any money.

However, Det. Asst. Supt. Nadia Walker of the Fraud Squad, said that although the Director of Public Prosecutions has issued a directive that the police investigate the matter, "there's nothing to support the investigation because the complainant has no documents" to support his claim.

In the meantime, Logic One's operator Mario Francis, against whom the complaint was made, has denied owing any money to Cable 'R' Us. "I didn't buy anything from them", said Mr. Francis. "I don't have the business, and I have not entered into any agreement with Cable 'R' Us."

According to Lee Livingston, a partner in Cable 'R' Us, the Government having refused to grant them a licence when 21 companies were granted licences to operate subscriber television in 1998, they sold their equipment, customer base, staff and goodwill to Logic One, which was recommended for a licence in the area Cable 'R' Us used to operate.

He said they did not sign a contract with Mr. Francis. Rather, it was a "gentleman's agreement", which he said the Logic One operator has since refused to honour.

Mr. Livingston said "It's not that we wanted to sell" Mr. Francis the business. In fact, the Cable 'R' Us operator said they tried to get a hearing from a five-member tribunal the Government said it had established to review the applications of those operators who had been refused licences, but they never got a hearing.

Rather, they were advised to, and met with Minister of Information Senator Maxine Henry-Wilson and Dr. Elaine Wallace, Director, Information Division, Office of the Prime Minister, who suggested that they sell the business.

Mr. Livingston said that since "there was no tribunal" to hear their appeal for a licence, Cable 'R' Us operators came to terms that "it was a no-win situation"; Mr. Francis sought them out to buy the business and so they agreed on a price and turned it over.

He said Mr. Francis subsequently advertised on the cable television that Logic One had bought out Cable 'R' Us, but Mr. Francis has since declined to pay the agreed sum.

Mr. Livingston said his partner and himself reported the matter to the Fraud Squad first in 1999, and were subsequently asked to return to give additional statements. He said they were also pursuing civil action against Mr. Francis, but they were yet to get a hearing.

Det. Asst. Supt. Walker said that because no business agreement was signed between Cable 'R' Us and Logic One, they were unable to make out a criminal case. She said that partners of Cable 'R' Us were asked to give two additional statements after their initial report, but "that was in furtherance of the investigation."

The police officer said "the DPP has asked us to investigate the matter, but on the surface it's not a very strong case. We are investigating, but in a vacuum."

According to Det. Asst. Supt. Walker, "The reality is that it's a civil matter because they (Cable 'R' Us operators) have no documents." She said, however, that they have established that the telecommunication systems of Cable 'R' Us and Logic One were interfaced and that Logic One did advertise that they have bought out Cable 'R' Us.

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