Dionne Rose, Parliamentary Reporter

Stewart prepares to answer questions at Parliament's Public Accounts Committee, yesterday. - Rudolph Brown/Chief Photographer

The Gordon 'Butch' Stewart-led Sandals Resort International is insisting that the Urban Development Corporation (UDC), should accept full responsibility for the US$43 million cost overrun on the Sandals Whitehouse project.

Mr. Stewart and representatives of his company reiterated this position yesterday during their first appearance before Parliament's Public Accounts Committee (PAC), which is considering the matter.

Jeremy Brown, managing director of Implementation Limited, which represented Gorstew on the project, told the PAC that according to the heads of agreement signed by all parties, the UDC should bear the cost of overruns if the project was inefficient in implementation.

"Both the Office of the Contractor General's Report and the Forensic Audit Report have commented on the poor performance of the UDC and Nevalco. The 2001 project suffered greatly from their lack of management and it is time that the UDC accepts responsibility for this," he said.

Dismissed allegations

Mr. Stewart also dismissed allegations made by Nevalco, agent of the UDC on the project, that Implementa-tion Limited consistently breached contractual agreements.

"They (Implementation Limited) were fully aware that the project manager was the only party authorised to issue instructions to the contractor," he said. "They abided by these terms and Nevalco's allegations must be viewed as an attempt to "pass the buck" of responsibility," Stewart said.

The Stewart team addressed 15 points during their presentation to the PAC. This ranged from the history of the project to whether the project represented value on the ground.

Patrick Lynch, director of Gorstew Limited, also said reports made by the Contractor General that the original budget of US$60 million was based on a Beaches Negril Resort concept, was incorrect.

"We wish to categorically state that Beaches Negril was never the design concept on which the 2001 project was to be based," he said. " The design concept of the 2001 project was and is based on the Beaches French Village property located in Turks and Caicos.

"It would appear that the Contractor General was provided with an inaccurate information and as such, his investigation would have proceeded on an entirely erroneous premise," he further added.

Mr. Brown also launched an attack on the Forensic Audit report, which he said was riddled with errors.