Ramps logistics takes Guyana Gov’t to court over denial of Local Content Certificate

Ramps Logistics (Guyana) has instituted legal proceedings in the High Court here over the Government of Guyana’s decision to deny the company a Local Content Certificate.

In its action, the company listed the Natural Resources Minister Vickram Bharrat, the Director of Local Content Martin Pertab and the Attorney General Anil Nandlall, SC, as the respondents.

Through lawyer CV Satram, Ramps Logistics submitted that it is a “Guyanese company” within the meaning of the Local Content Act of 2021 and an operator in the petroleum sector.

In light of this, the company said that it applied to the Local Content Secretariat to be entered on the Local Content Register and to be issued with a Certificate of Local Content Registration.

Despite meeting the criteria for a Local Content Certificate, Ramps Logistics complained that its application was refused by the Minister/Local Content Secretariat.

Satram argues that the decision of the Local Content Secretariat to refuse his client a Local Content Certificate is not only unlawful, unreasonable and arbitrary but also amounts to errors of facts and errors of law on part of the respondents and is a breach of the Local Content Act.

According to Ramps Logistics’ lawyer, the company had asked the Local Content Secretariat to reconsider its decision but it refused to do so. He said that the Natural Resources Minister and Director of Local Content made this decision while at the same time granting Certificates of Local Content to similarly structured companies, including its competitors.

The attorney-at-law argues that, “[Minister Bharrat] and the [Director of Local Content] knew that their decision and/or omission were likely to severely affect the company’s business and were aware of the losses which were suffered and likely to be suffered when they deliberately took a decision not to reconsider the application for registration in a timely manner.”

He, therefore, wants the High Court to, among other things, compel the Natural Resource Minister/Director of Local Content to grant Ramps Logistics a Local Content Certificate.

Ramps Logistics also contends that it is entitled to an award for damages, costs and any further orders the court deems just.

In an affidavit in support of its pleadings, Ramps Logistics (Guyana) Logistics Director, 34-year-old Samantha Cole deposed that if the company is not added to the Local Content register, it will be forced to scale back its operations and dismiss a majority of its current employees.

The company was denied a Local Content Certificate in June of this year. Among the reasons for refusing its application, according to the Local Content Secretariat, was Ramps Logistics’ failure provide accurate information in compliance with Guyana’s Local Content law.

The Director of Local Content has since identified several grounds on which the company’s application was denied, including the submission of questionable documents which did not clearly state the amendments to incorporation and the failure to have its Executive Board of Directors be 75 per cent Guyanese.

On October 5, the Guyana Revenue Authority (GRA) reported that following an investigation carried out by its Law Enforcement and Investigations Division, 10 charges for making false declarations were instituted against Ramps Logistics in the Georgetown Magistrates’ Courts.

The charges, GRA noted, were laid in accordance with the provisions of the Customs Act. Chapter 82:01. The investigation, it said, determined, among others, that during the period of 2021 to 2022, the said Company made several untrue declarations to the Revenue Authority.

“The Revenue Authority as it continues to operate in accordance with its mandate, thereby allowing for a ‘level playing field’ for legitimate businesses and the collection of revenue, is once again encouraging individuals/companies involved in any such illicit activities to cease and desist therefrom and bring their businesses into compliance with the nation’s Tax, Trade and Border laws,” GRA had said in a statement.

The case will be called on Thursday, October 20, 2022.