Whirlwind or Not, Chastanet Insists on Grynberg Inquiry!

The near-two-decades-old mothballed Grynberg issue came to life again recently with Rick Wayne’s report on the recent “successful” appeal of RSM Production before the ICSID’s ad hoc committee. Earlier the tribunal had dismissed RSM’s suit with prejudice, after CEO Jack Grynberg refused to put up US$750,000 as a guarantee, perchance his case against the Government of Saint Lucia should prove unsuccessful. 

While in the first instance the tribunal had demanded the guarantee only from RSM, on appeal the ICSID’s ad hoc committee directed both parties to lay down guarantees, albeit different amounts. Meanwhile, RSM has not decided on its next move, peace offerings to the Chastanet government reportedly having been refused.

Since then related questions to government ministers have seldom produced enlightening answers, on the flimsy basis that the next move depends on whether RSM’s Jack Grynberg decides to proceed or drop his breach of contract claim. Only two weeks ago, House opposition leader Philip J. Pierre told reporters a government under his leadership would definitely not inquire into the issue of Grynberg.

The prime minister said several months ago, in a statement before parliament, that he intended to launch an investigation aimed at “clearing the suffocating smoke around the disturbing issue”. On the occasion, the former prime minister Kenny Anthony, who in 2000 had secretly contracted RSM to explore some eight million acres of Saint Lucia’s seabed for oil and gas, threatened in parliament that if Chastanet initiated an investigation, his immediate predecessor “would personally see to it that he reaps the whirlwind”.

Chastanet’s reaction: “I stopped listening to Dr. Anthony a long time ago.” He reiterated on Tuesday, before parliament got underway, that an inquiry into Grynberg remains an option. “Once we get advice from the lawyers, one of the options clearly is to be able to have an inquiry to find out the details of the case. If in fact the former Prime Minister Dr. Anthony refuses to speak on the issue or to provide any of the details, then maybe he’s gonna have to do it in front of an inquiry.”

As for where the case currently stands, the PM stated: “The Attorney General will be meeting with them [Saint Lucia’s lawyers] very shortly to determine where we go from here. Obviously, it’s almost like starting over again.”

According to a government communique, the Grynberg matter has already cost taxpayers over EC$5.4 million. As earlier noted, Jack Grynberg claims the Government of Saint Lucia is in breach of its March 29, 2000 agreement and is demanding damages totalling some US$500 million.