No cause for concern about Logistics Hub MoU, says Hylton

Investment Minister Anthony Hylton on Monday sought to allay concerns about the Government of Jamaica signing a Memorandum of Understanding with Krauck Systems and Anchor Finance Group for the development of Jamaica's logistics hub.

Questions have emerged about the credibility of the companies, for which there has not been much public information. There have also been concerns about whether the Government carried out proper due diligence checks on the entities.
     
Responding to the concerns, the Minister sought to clarify the nature of the MoU. He said it will provide a more binding framework, in which due diligence questions can be addressed in a confidential forum.  
     
Mr Hylton said the MoU was deliberately designed with a 30 day period for both companies to prove the legitimacy of their funding and the fit and proper status of the persons involved. If they fail to do so, the MoU will automatically be terminated, he said.
   
In addition, either party may, at any time, terminate the agreement by notice and without penalty.
   
Mr. Hylton is therefore calling for the public to allow the investors time and space to demonstrate their capabilities in a timely manner.

The opposition Jamaica Labour Party had called for a delay in the signing of the MoU, pending the clarification of questions raised about the companies.