Internet Radio

City Hall is broke; salaries unpaid; security service withdraws; garbage collectors may go soon

Guyana’s capital city, Georgetown, has plunged into a deep financial crisis with no money to pay City workers, contracted security, drainage and garbage collection services, according to well-placed sources.

A senior financial official at City Hall would only say that workers would “most likely” be paid on Friday,  May 27, 2016.

“Money is not there. City Hall does not have money. They are in deep financial problems,” another official told Demerara Waves Online News. Sources said the municipality’s monthly wage and salary bill for fixed and un-fixed workers is estimated at GYD$67 million.

About 800 workers, including City Police, are on the fixed establishment.

The Head of Excalibur Security Services, Retired Lt. Colonel George Gomes confirmed to Demerara Waves Online News that he withdrew  60 security guards from several markets and other municipal locations on Tuesday because his company has been owed a “substantial amount” of money since the end of January. Sources said the debt is more than GYD$30 million. “I wrote them a letter telling them it is untenable and that I cannot continue subsidizing the council,” he said, adding that all he has been getting is “lots of promises” up two weeks ago.

Other sources told Demerara Waves Online News that the two major garbage collection companies – Purans and Cevons- are on the brink of withdrawing their services because they have been owed more than GYD$200 million. “The garbage contractors will pull off shortly if nothing comes through this week,” the source said.

Drainage contractors have also stopped working for City Hall and construction work at the Kitty Market has ground to a halt because there is no more cash, the sources added.

Concerns have since been raised in some quarters about where the estimated GYD$188 million that had been in the City Treasury up to May, 2015 and an additional GYD$584 million from the amnesty have gone.

It is unclear whether City Hall has again racked up social security and income tax debts to the National Insurance Scheme and the Guyana Revenue Authority (GRA), after old debts had been cleared off up to May, 2015.

  • MEMES Unlimited

    Not Hammy….bailed out (or was bailed out) early, then proceeding to wreak havoc at CH& PA. What a guy….what a guy!!!!

  • ExPPP_Man

    Preparation for the big sport, all the money gone.

  • CREAM1968

    IF A MINI BUS CAN TAKE 10 PEOPLE INSIDE AND THE YOU PUT 800 , WHAT YOU EXPECTED , IT COLLAPSED , SO CITY HALL WILL NEVER GET BETTERR , BECAUSE , IF YOU WANT VOTE YOU GIVE ALL U FRIEND JOBBBBBBBB , U MAMA , YOU PAPA , YPU UNCLE , YOU BUDDY , BLA BLA , ITS TOO TOP HEAVY . DONT WORRY MAN , UNCLE MOSSES AND UNCLE GRANGER WILL RESCUE

    • rudeo

      67 million per month for 800 employees…waah!

  • Ricardo.Diaz70@hotmail.com

    U PEOPLE CAN TRY TO BLAME THE PREVIOUS GOVERNMENT,BUT THAT WILL NOT FLY,THE PPP GOVT BALE THOSE PRI### OUT NUMEROUS TIMES,BUT U KNOW THE PNC CANT EVEN RUN A CAKE SHOP ,REMEMBER AFTER 28 YEARS OF PNC THE PEOPLE WERE STARVING,IT WILL HAPPEN AGAIN , THE CITY SHOULD BUILD 4 MORE ARCH I HEARD IT TASTE GOOD,(JACKA##)UNDER THE NEW GREEN & THE PNC WE WILL B ABLE TO CATCH PATWA IN WATER STREET SO WE CAN FEED THE NATION.

  • Appalled

    Oops. Where will the funds come from….ha, the business community will be pressured, oh, what a tangled web we weave.

  • Lancelot Brassington

    This is brilliant timing. It will surely embarrass the government when loads of visitors are in the country. This did not happen all of a sudden. They must have seen it coming. Why was the temporary fix not applied before independence to be followed later by a long term solution. Something ain’t gelling here.

  • KassemB

    ‘City Hall is broke; salaries unpaid; security service withdraws; garbage collectors may go soon’
    Where are all the honorees?
    Don’t blame the PPP now
    You have been in power for over a year and had no problem getting funds for the
    D’Urban Park jamborees

  • Col123

    Congratulations my motherland (protector of my umbilical cord) on your 50th!..Thank you for the education provided , for which my mother (bless her soul) struggled to pay…thanks for maturing me with O levels at age seventeen and with having the opportunity to cut cane for a year to age eighteen…Thanks to my principled parent for refusing to pay a bribe, or convert to Christianity , to get me a decent job…
    I have a difficult time accepting this report so I will try to spin it…The PPP pulled a Houdini and stole all the money from the city…traces of it found in Ifaan pool….uh..the drug money in the city dried up because the DEA is watching the PPP closely…wait a second…we invested the money in cleaning up the city…we expect 500% return with the economy growing over 4% this year…Jeeze..I better go out and golf today,,the weather looks promising..

  • Col123

    Which President ? Mr Harmon or Mr Naggaramoti

    • eddie

      if you think naggaramoti has any semblance of authority in this government you are really missing what going on in Guyana ,,,, and he will never acknowledge that because he has shit on his face

      • Col123

        Hey..the guy said that he is not Indian…therefore , he is a brother…the chap look real suave in his Armani …cut him some slack

        • eddie

          do me a favor can you please tell me which university or collage this guy got his law degree so I don’t waste my hard earn cash sending my children there

          • Col123

            Don’t rule out Trumph University…

          • eddie

            LOLLLLLLLLLLLLLLLL

  • rs dasai

    Easy fix. Borrow as usual against future revenue collections. Against the ‘Faith and confidence of the City Council’?