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Godwin Arthur Hulse v Edmund Andrew Marshalleck Jr et al [2023] BZSC 74 (26 June 2023)
IN THE HIGH COURT OF BELIZE, A.D. 2023
Claim No. 218 of 2022 BETWEEN
GODWIN ARTHUR HULSE CLAIMANT
AND
EDMUND ANDREW MARSHALLECK JR. LUKE MARTINEZ
MARCELLO BLAKE
AS COMMISSIONERS OF THE COMMISSION OF INQUIRY INTO THE SALE OF GOVERNMENT
ASSETS
THE ATTORNEY GENERAL OF BELIZE
1st DEFENDANT
2nd DEFENDANT
3rd DEFENDANT
4th DEFENDANT
Before the Honourable Madam Justice Genevieve Chabot Date of Last
Written Submissions: January 30th, 2023 Appearances
Magalie Perdomo, for the Claimant
Hector Guerra, for the 1st to yd Defendants
Douglas L. Mendes, SC and Iliana N. Swift, for the 4th Defendant
JUDGMENT
Introduction
- In
response to allegations of abuse and corruption in relation to the sale of
government assets to "favoured persons", the Government
of Belize established
the Commission of Inquiry into the Sale of Government Assets (the "Commission").
In its Report, the Commission
makes findings of wrongdoing against the
Claimant.
- The
Claimant applied for leave to apply for the judicial review of the Commission's
Report.
The Claimant sought a declaration that the Report was null and void as having
been made in breach of his natural justice and constitutional
rights, an order
of certiorari quashing the findings of the Report as they pertained to
him, an order of prohibition, and a permanent injunction restraining the
Government of Belize from acting upon the Report. The Claimant also sought
damages and costs.
- The
Defendants did not object to the granting of the leave. Subsequently, the
Defendants admitted to the breach of the Claimant's
right to be heard and of his
constitutional right to the protection of the law. The Defendants consented to
quashing those parts
of the Report pertaining to the Claimant. This Judgment is
for an assessment of the damages owed to the Claimant as a result of those
breaches.
- The
Claimant is awarded $75,000 in compensatory damages and $30,000 in vindicatory
damages.
Background
- The
Claimant was the Minister of Agriculture, Forestry, Fisheries, Sustainable
Development, and Immigration and Nationality from
October 2016 to February 2020.
He then acted as Minister of Food and Agriculture, and Immigration, from
February 2020 to November
2020.
- On
January 19th, 2021, the Government of Belize established the
Commission. The 1st, 2nd, and yd Defendants were appointed as
commissioners. The Commission was charged with investigating the procedures and
processes for
the sale of government assets during the period of October 2019 to
November 2020, and determining whether any improprieties, irregularities,
or
wrongdoings occurred in the sale of such assets and to recommend any corrective
measures and necessary actions against those involved.
- The
Report of the Commission dated January 6th, 2022 was released on
January 19th, 2022. The Report made findings of wrongdoing against
the Claimant.
- On
April 6th, 2022, the Claimant filed an Application for Permission to
Apply for Judicial Review. The Claimant sought leave to apply for the
granting
of a declaration that the Report was null and void as having been made in breach
of his natural justice and constitutional
rights, the granting of an order of
certiorari quashing the findings of the Report as they pertained to him,
an order of prohibition, and a permanent injunction restraining the
Government
of Belize from acting upon the Report. The Claimant also sought damages and
costs.
- The
hearing of the Application was adjourned pending the determination of two
related matters that were before another Court. Shoman
J. released her decision
in The Honourable Hugo Patt v Edmund Andrew Marshalleck Jr. et
al.1 on June 23rd, 2022, and her decision in The
Rt. Honourable Dean Barrow v Edmund Marshalleck Jr. et al.2 on
June 28th, 2022. As a consequence of those decisions, this
Application was amended on August 4th, 2022.
- Although
they denied the allegations in the Application, the Defendants did not object to
the granting of the leave. By consent, the
Claimant was granted leave to apply
for judicial review. The Claimant filed a Fixed Date Claim Form for Judicial
Review and Constitutional
Relief on October 12th, 2022, seeking the
relief listed above.
- The
Defendants filed no response to the Claim for Judicial Review and Constitutional
Relief. By Consent Order dated December 2nd, 2022 the parties agreed
to the following orders and declarations:
- The
1st through yd Defendants infringed the Claimant's right to be heard
by failing to issue a Salmon letter, disclose certain documents
and provide the
Claimant with the opportunity to respond to material that could cast an
unfavourable light on him;
- An
order for certirorari quashing those parts of the Report of the
Commission oflnquiry into the Sale of Government Assets dated the 6th
January, 2022, more particularly, "[I]s is also more likely than not that the
Honourable Godwin Hulse also acquired a 2013 Mahindra
pickup (which he continues
to regularly use) in the name of Carl Gillette during the relevant period. All
these contracts were clearly
on account of the public service";
- The
Claimant's constitutional right to the protection of the law has been
infringed;
- Damages,
if any, be assessed and paid by the Fourth Defendant to the Claimant;
- The
costs of the Claim be paid by the Fourth Defendant to the Claimant.
- This
Judgment only deals with the issue of the damages owed to the Claimant as a
result of the admitted breach of his right to be
heard and of his constitutional
right to the protection of the law.
1 Claim No. 29 of 2022 ("Patt").
2 Claim No. 33 of2022 ("Barrow').
Parties' Submissions
Claimant's Submissions
- The
Claimant seeks $120,000 in compensatory damages for distress and injury,
and
$60,000 in vindicatory damages.
- The
Claimant alleges that the Report makes the following findings, which are adverse
to him and to which he was not given a chance
to respond:
- That
he 'more likely than not' acquired a 2013 Mahindra pickup in the name of a third
party, Carl Gillette (which he continues to
regularly use) on account of the
public service (para. 18 of the Report);
- That
the Claimant bought the vehicle in the name of a third party to mask his
involvement with the acquisition (para. 15 of the Report);
- That
the Claimant had contracted with the Government to purchase the said vehicle,
without any repercussion on his qualification
as a member of the National
Assembly and without regard to the heightened need for transparency in
transactions approved by the Prime
Minister in favour of members of its own
Cabinet (para. 17 of the Report);
- That
the sale of the Mahindra pickup to the Claimant was not within the ambit of
lawfully approved or established policies and that
the sale reflected
mismanagement of public resources involving waste and abuse of which he was a
part (para. 14 of the Report);
- By
virtue of the Belize Constitution, the Claimant was likely disqualified
from continuing to sit as a member of the National Assembly (para. 19 of the
Report);
- That
the Mahindra vehicle purportedly purchased by the Claimant was among the 112
sales of motor vehicles during the relevant period
which were effected in breach
of the provisions of Part IV of the Finance and Audit REform Act3
because none of the required tendering procedures were in fact followed in
effecting any of the sales (para. 42 of the Report);
- That
the misconceived process for effecting sale of the said vehicle to the Claimant
may have been used in aid of corrupt acts and
to launder proceeds of crime
(para. 106 of the Report);
3 Cap. 15 of the Substantive Laws of Belize ("FARA").
- That
the purported sale of a 2013 Mahindra to the Claimant amounted to self
dealing on his part (para. 106 of the Report);
- That
as a member of Cabinet, the Claimant acted in his own interest in purchasing the
motor vehicle from the Government and without
any regard to the impact of the
transactions on the public purse (para. 106 of the
Report);
- That
the Claimant leveraged personal relationships with his colleagues to secure
private gains (para. 106 of the Report);
k. That, as a Government Minister, the Claimant was gifted public assets in a
manner which was not transparent, which was tainted
by financial mismanagement,
and without securing market value for the said public assets (para. 67 of the
Report).
- In
his Affidavit in support of the Fixed Date Claim Form, the Claimant describes
finding out on January 12th, 2022 that the Report had been released
through a media report. The media report contained excerpts of the Report. The
Claimant alleges
that he was "shocked" to read those excerpts identifying him as
having "more likely than not" acquired a 2013 Mahindra pickup from
the
Government of Belize in the name of Carl Gillette during the relevant period of
the Commission oflnquiry. The Report also found
that the Claimant "regularly
uses" the said pickup. The Claimant was subsequently contacted by media houses
and gave various interviews
in an effort to "exculpate [his] name and provide an
accurate account". The Claimant alleges that the Commission's findings against
him were published nationwide and approved by Cabinet in a Government press
release dated January 11th, 2022.
- The
Claimant describes being "flabbergasted" when he read the findings against him
in the context of the full Report. He was also
concerned that the Report had
been submitted to the Attorney General's Office and Office of the Director of
Public Prosecutions for
advice and action deemed appropriate and necessary.
- The
Claimant alleges that the Commission's findings against him caused him to
experience significant distress and inconvenience.
He also alleges that the
Report and its findings damaged his reputation as a "former Minister of
Government and known public figure
who throughout the years consistently
advocated for transparency in Government". The Claimant says that he is
particularly aggrieved
by the fact that he was not given a chance to provide his
true account or to answer the charge against him.
- The
Claimant alleges that since the release of the Report, he has endured sarcastic
and cruel remarks made to him about the Mahindra
he currently drives. In the
Claimant's estimation, the Commission's findings against him will have an
extended effect since he intends
to
continue driving the said Mahindra for several more years. The alleged remarks
were made to the Claimant while using the vehicle
at the supermarket, the
hardware store, and from friends and colleagues. These remarks include persons
asking him to sell them the
Mahindra cheap because he got it for free from the
Government, allegations that he stole government assets, and allegations that
he
purchased government assets and put private plates on his vehicle to "look
clean". The Claimant says that he experiences anxiety
when using the Mahindra in
public as he is aware of the "negative taint" which has been inflicted on the
use of his own vehicle since
the Commission's Report. He adds that when he tries
to defend himself, he faces assertions that as long as it is in the Commission's
Report, it must be true.
- Throughout
his career, the Claimant held various high profile positions both in the public
and the private sector. He was given awards
in recognition of his service,
including an Order of Distinction granted by the Governor General of Belize, the
Paul Harris Fellow
from the Rotary Foundation of Rotary International, and a
honourary PhD from Galen University. The Claimant alleges that the impact
the
Commission's findings have on the views of the public towards him has caused him
great distress, as he is left feeling embarrassed
and degraded. He is
inconvenienced by having to constantly defend himself The Claimant claims that
the Commission's findings against
him have caused irremediable harm, which
includes a lasting feeling of embarrassment he continues to suffer when out in
the community
where he resides.
- The
Claimant relies on two recent judgments from our Court arising from the same
Report. In Barrow, the former Prime Minister and Minister of Finance was
awarded $125,000 in compensatory damages, and $60,000 in vindicatory damages
for
the allegations made against him in the Report. In Patt, the former
Deputy Prime Minister was awarded $95,000 in compensatory damages, and $50,000
in vindicatory damages for similar allegations.
- In
Barrow, the Court accepted the principle that compensatory damages within
the context of a breach of constitutional rights is an award for
distress,
injury, or inconvenience, as opposed to an attack on one's reputation. However,
the Court also accepted that the reputation
of the Claimant may be a factor when
assessing damages for distress and injury. The Claimant submits that, as the
Court in Barrow and Patt did, this Court should accept that
comparable cases, including defamation cases, may be used to determine the
measure of compensatory
damages. The Claimant cites the decision in Karen
Bevans v Hon. John Briceno et al.4 in which James J. granted Mrs.
Bevans $60,000 in damages for defamation, and $30,000 in aggravated damages for
public comments made
by the Hon. Briceno that Mrs. Bevans was a "crony", had
awarded herself a "massive" contract while she "fired everybody", and as
such
committed abuses. Bevans was recently upheld by the Court of
4 Claim No. 771 of2020 ("Bevans").
Appeal, 5 which found that the quantum of damages awarded was
"neither the result of an error of law by the trial judge, nor
inappropriate".6
- With
respect to vindicatory damages, the Claimant relies on the dictum of the Privy
Council in Attorney General cf Trinidad and Tobago v Ramanocp7
according to which an additional award of compensation may be appropriate to
remedy a breach of constitutional rights. Based on the
quantum awarded in
Barrow and Patt, the Claimant seeks $60,000 in vindicatory
damages.
Dlfendants' Submissions
- The
Defendants made no submissions in relation to the Claimant's interpretation of
the Report and its import. Their submissions focus
on the appropriate quantum of
damages in light of the Claimant's allegations of distress and inconvenience.
The Defendants submit
that an appropriate award in this case for distress and
injury to feelings would be in the range of $25,000 to $40,000. The Defendants
further submit that this is not a matter where vindicatory damages should be
awarded. If this Court decides to award vindicatory
damages, the sum of $10,000
to $25,000 would be appropriate.
- The
Defendants admit that under section 20 of the Belize Constitution, the
Claimant is entitled to "redress" for the breach of his fundamental rights. An
order for the payment of compensation is a form
ofredress to which a victim of a
violation of constitutional rights is entitled.8 In both Mahan}
and James v Attorney General,9 the Privy Council confirmed that
compensation for non-pecuniary loss is available for distress and inconvenience
suffered as a consequence
of the breach. In Crane v Rees,10
the Court held that while not a separate head of damages for breach of a
constitutional right, loss of reputation may affect the
quality and extent of
the distress and inconvenience which a claimant may suffer:
As regards the claim for loss of reputation, I have already indicated that
damages per se for such loss are not available in this
case. It is not a claim
in tort for common law damages. It is one in public law for monetary
compensation for breach of one's constitutional
right. But that having been
said, I do not accept that the question of reputation should be ruled out
altogether. It must be a factor
that has to be taken into account in determining
the distress and inconvenience suffered by the appellant. The right to be heard
is not simply an abstract right that exists in a vacuum. It serves a purpose,
and a very significant one at that. It
5 Civil Appeal No. 20 of 2021.
6 Ibid at para. 35.
7 [
2005] UKPC 15
("Ramanocp").
8 Maharcj v Attorney-General cf Trinidad and Tobago (No.:::.),
[1978] UKPC 3; [1979] AC 385 ("Mahanf').
9 [2010] UKPC 23 ("James").
10 (2000) 60 WIR 4098.
protects a citizen against any arbitrary act of the State or its agents by
ensuring that he is heard before any action adverse to
him is taken. In doing so
one's reputation is protected. The right would be meaningless, in my view, and
of little value to a citizen
if it could not protect him in this way. I think
that this view is borne out in the opinion of the Privy Council as regards the
injury
to the appellant's reputation.
It cannot be doubted that injury to one's reputation will generally have an
effect on the victim in that, amongst other things, it
will cause him distress
and grief The fact that distress is also an ingredient that is taken into
account in an award in defamation
at common law should not, in my view, preclude
a court in a constitutional matter from taking that very distress into account.
The
fact that there may be some overlap is of no consequence [emphasis
added].11
- The
Defendants submit that it is a fundamental principle of fair assessment of
damages that awards made in any case should bear a
reasonable relationship to
awards made in comparable cases.12 They submit that the award in
Crane v Rees is a "benchmark" because of the similarities in the
circumstances and right infringed. The award ofTTD$125,000 granted to the
claimant
in Crane v Rees is equivalent to BZ$40,000. Awards made in
defamation cases are also, in the Defendants' view, helpful to guide the
assessment of
damages in the present matter. They note that the Court in
Bevans found that awards of general damages in defamation cases range
from $25,000 to $60,000. In Anwar Barrow v Michael Rudon,13
the claimant was awarded $40,000 in general and $10,000 in aggravated damages
for an accusation that he had used his political relationship
with his father to
get a Minister fired and then conspired to release documents that would
"destroy" him.
- The
Defendants invite this Court to approach the awards in Barrow and Patt
with the greatest of caution because in their view, "it appeared that the
awards made encompassed an undisclosed amount for injury
to reputation". The
Defendants point out that Shoman J. "indicated that she took into account the
stature and standing of the Claimant
in society, which might be relevant to an
assessment of damages to reputation in a defamation case, but is not relevant to
an assessment
of compensation for distress and injury to feelings". The
Defendants also note that "the attack on the Claimant's character in this
case
is not as widespread, definitive and damning as the attack on the characters of
the Barrow and Patt Claimants".
11 Ibid at 425-426.
12 Attorney General cf Antigua and Barbuda v The Estate cf Cyril
Thomas Biflon and anor., Civil Appeal No. 22 of 2004 at para. 35.
13 Claim No. 254 of2018 ("Rudon").
- The
Defendants submit that an award for vindicatory damages is not appropriate in
the circumstances of this case. In Ramanocp and in Merson v
Cartwright,14 the Privy Council clarified that the purpose
ofvindicatory damages is not punitive, but rather "reflect[s] the sense of
public outrage,
emphasise the importance of the constitutional right and the
gravity of the breach, and deter further breaches".15 While
discretionary, the sum to be awarded depends "upon the nature of the particular
infringement and the circumstances relating
to that infringement".16
The basis for the sum arrived at must be set out by the judge.
17
- In
Attorney General cf Trinidad and Tobago v JM (a minor by his kin and next
friend lVM),18 the Privy Council offered some guidance on the
nature and function ofvindicatory damages:
- The
first is that one has to be very careful with terminology so as to avoid
needless confusion. Most remedies for wrongs may be said
to have the subsidiary
function of vindicating the right infringed. So, for example, the primary
function of compensatory damages
is to compensate the loss of the claimant but,
in so doing, one is also inevitably vindicating the right infringed. And the
primary
function of an account of profits awarded for a wrong (such as breach of
fiduciary duty) is the disgorgement of the gains made by
the wrong but, in
making such an award, one is also vindicating the underlying right. In contrast,
the primary function ofvindicatory
damages, as explained by Lord Nicholls, is to
vindicate the right infringed by emphasising its importance. Other functions
are, as
he made clear, to reflect the sense of public outrage, to emphasise the
gravity of the breach, and to deter future breaches.
- The
second observation is that there is a parallel between vindicatory damages and
punitive (otherwise known as exemplary) damages
that may be awarded at common
law. In English law, punitive damages can be awarded for torts but, as laid down
by Lord Devlin giving
the leading speech in the House of Lords in Rookes v
Barnard [1964] UKHL 1; [1964] AC 1129, only in three categories of case. The first of those
categories is where there has been "oppressive, arbitrary or unconstitutional
action by the servants of the government". This may be thought to be somewhat
similar to breach of a constitutional right. Moreover,
some of the functions of
punitive damages (eg, deterrence and to reflect the sense of public outrage)
match the functions ofvindicatory
damages and it is for this reason (ie to avoid
duplication) that, as laid down in Takitota v Attorney General cf the Bahamas
[2009] UKPC 11, a court should not award both punitive damages for a tort
and
14 (2005) 67 WIR ("Merson").
15 Ramanocp, sz,pra at para. 19.
16 Merson, supra at para 19.
17 Inniss v Attorney General cf Saint Christcpher and Nevis,
[2008] UKPC 42; (2008) 73 WIR 187.
18 [2022] UKPC 54 ("JM").
vindicatory damages for breach of a constitutional right. But the essential and
crucial difference, as Lord Nicholls made clear in
Ramanocp (in the
passage cited at para 55 above), is that vindicatory damages, unlike punitive
damages, are not concerned to inflict punishment,
in the sense of retribution,
on the defendant.
- The
third observation is that, as Lord Nicholls made clear, vindicatory damages are
additional to any compensatory damages. It is
only if compensatory damages are
inadequate to vindicate the right (and to achieve the other functions
ofvindicatory damages) that
vindicatory damages should be awarded. This may be
expressed by saying that vindicatory damages should be awarded "if but only if'
compensatory damages (which may include so-called "aggravated damages"
reflecting the mental distress caused to the claimant by the
particularly bad
conduct of the defendant) are inadequate to vindicate the right. Such a
restriction has its parallel in relation
to punitive damages because Lord Devlin
in Rookes v Barnard, at pp 1227-1228, said that, if a case fell within
one of the categories, a jury should be directed that: "if, but only if, the sum
which they have in mind to award as compensation (which may, of course, be a sum
aggravated by the way in which the defendant has
behaved to the plaintiff) is
inadequate to punish him for his outrageous conduct ... then it can award some
larger sum."
- The
fourth observation is that, under the present law, vindicatory damages can be
awarded only for breach of constitutional rights[...
][emphasis
added].19
- An
award ofvindicatory damages is therefore not automatic. In James, the
Privy Council held as follows:
[24] [... ]The constitutional dimension adds an extra ingredient. The violated
right requires emphatic vindication. For that reason,
careful consideration is
required of the nature of the breach, of the circumstances in which it occurred
and of the need to send
a clear message that it should not be repeated.
Frequently, this will lead to the conclusion that something beyond a mere
declaration
that there has been a violation will be necessary. This is not
inevitably so, however. Nor is it even the case that it will be required
in all
but exceptional circumstances. Close attention to the facts of each individual
case is required in order to decide on what
is required to meet the need for
vindication of the constitutional right which is at stake [emphasis
added].20
19 Ibid at paras. 56-59.
20 James, sz,pra at para. 24. See also Subiah v Attorney
General, [2009] 4 LRC 253 at para. 11. See also Maya Leaders Alliance v
Attorney General cf Belize, [2016] 2 LRC 414 at para. 61; Titan
International Securities Inc v Attorney General of Belize [2019], 2 LRC 279 at
para. 59.
- The
Defendants go on to list recent Caribbean cases in which vindicatory damages
were awarded in cases of a breach of constitutional
rights:
- Econo
Parts Ltd v Comptroller cf Customs and Excise:21 EC$75,000.00
(around BZ$56,000) in vindicatory damages in a case of breaches of the right to
property where the court found that "the
laxity with which this matter was
treated coupled with the overall tenor of the officers' expressions and actions
can only be considered
as a most deplorable abuse of power".
- Attorney
General cf Grenada v Ehsan:22 EC$50,000 (around BZ$37,000) in
vindicatory damages for the wrongful arrest and detention of the claimant, the
retention of his passport,
and breaches of the claimant's right to due process
of the law.
- Attorney
General cf Antigua and Barbuda v The Estate cf Thomas Bifton et
al:23
EC$10,000 (around BZ$7,450) in vindicatory damages.
- Julius
EJpat v Michael Peynfitte:24 $50,000 in vindicatory damages for
an elected official who was physically removed from the House of
Representatives.
- The
Defendants also list cases in which vindicatory damages were denied by the
court:
- Mc.jar
v Attorney General and others:25 in a case where the claimant was
detained for 38 days under an unconstitutional provision of the Firearms
(Amendmem) Act, the court found that general and special damages were
appropriate, but not vindicatory damages.
- Graham
v Police Service Commission and another:26 the Privy Council held
that vindicatory damages were not appropriate where the alleged breach was in
the nature of a want of procedural
fairness. Of note is that the lower court
judge had found no bad faith or deliberate wrongdoing on the part of the State,
but found
that the breach was the result of an administrative
error.
- The
Defendants maintain that this is not an appropriate case for an award
ofvindicatory damages. The Defendants have consented to
appropriate orders
expunging the offending words from the record, and declarations acknowledging
the breach of the Claimant's right
to be heard and his constitutional rights.
The attack on his character is also relatively
21 SLUHCVAP 2017/0019.
22[2021] 1 LRC 651.
23 Civil Appeal No. 22 of 2004.
24 Claim No. 560 of 2016.
25 [2016] 4 LRC 337.
26 [2011] UKPC 46.
speaking not of the gravest nature. The Court will also have already made an
award for the distress and injury to feelings suffered
as a result of those
breaches. In the circumstances, there is no further need for the Court to
register the public's outrage at those
breaches, to emphasise the importance of
the constitutional right and the gravity of the breach, or to deter further
breaches. Deterrence
is not necessary because the Defendants have readily
accepted their culpability and their willingness to make reparations. Further,
there is no suggestion of bad faith on the part of the Defendants or a
deliberate attempt to injure the Claimant. In the Defendants'
view, this is not
a case ofreprehensible conduct on the part of the State egregious enough to
warrant a monetary order in addition
to the agreed orders, declaration and
compensation awarded.
Analysis
- The
questions this Court must answer are narrow. The Defendants accept liability.
They admit that the Commission violated the Claimant's
right to be heard and
infringed his constitutional right to the protection of the law. They concede
that the Claimant is entitled
to compensatory damages for distress and
inconvenience, but deny the Claimant's entitlement to vindicatory damages. This
Court must
therefore determine the appropriate quantum of compensatory damages,
and whether the Claimant is entitled to vindicatory damages
in the circumstances
of this case.
Compensatory Damages
- This
Court awards the Claimant $75,000 in compensatory damages, based on the
following considerations.
- The
Court begins its analysis with the recent decisions in Barrow and
Patt, in which Shoman J. awarded the claimants $125,000 and $95,000,
respectively, in compensatory damages for similar constitutional breaches
arising from the same Commission oflnquiry. While the Court is mindful of the
Defendants' caution with respect to the amounts awarded
in those claims, unless
and until the Court of Appeal finds those amounts to be inappropriate, the
awards in Barrow and Patt, are considered persuasive authorities.
Of course, this Court must conduct its own analysis and award damages on the
basis of the Claimant's
own circumstances.
- On
a reading of the Report, it is obvious to this Court that the accusations of
wrongdoing levelled against the Claimant are not
as categorical and damaging as
those levelled against the Right Hon. Dean Barrow SC, the former Prime Minister
and Minister of Finance,
and the Hon. Hugo Patt, former Deputy Prime Minister.
The Report paints a picture of a system rife with abuse, corruption, and
disregard
for the applicable laws and regulations. The Right Hon. Barrow, as
Prime Minister and Minister of Finance, is placed at the center
of this system
and is painted as having enabled it to flourish and continue unaddressed. The
Right
Hon. Barrow is also accused of favouritism. The Hon. Patt is specifically
accused of having taken advantage of the system to launder
the proceeds of a
bribe for the sale of lands. The Report recommends that the conduct of the Hon.
Patt be investigated with a view
to being prosecuted, and that his
qualifications to continue to sit in the National Assembly be investigated.
- By
contrast, the Claimant is identified as having "more likely than not" acquired a
vehicle in the name of another, which could disqualify
him from sitting in the
National Assembly. While there is no suggestion that the Claimant played any
part other than having taken
advantage of the system by acquiring one vehicle,
it is implicit from the Report's conclusions that by doing so, the Claimant was
complicit in the abuse, the corruption, and the breaches of the law and
regulations that the Report condemns. As noted by the Defendants,
the "attack on
the [Claimant's] character in this case is not as widespread, definitive and
damning as the attack on the characters
of the Barrow and Patt
Claimants". While this may be true, there was an "attack" on the Claimant's
character for which he must be compensated.
- The
Claimant alleges that the Report's findings against him caused him to experience
significant distress and inconvenience. The
Claimant says that he was "shocked"
when he heard a media report containing excerpts of the Report identifying him
as having "more
likely than not" acquired a 2013 Mahindra from the Government in
the name of another. The Claimant had not been made aware of the
release of the
Report and of its findings before these excerpts were broadcasted to the public.
The Claimant was thereafter "flabbergasted"
when reading the full Report, and
was "concerned" that the Report had been submitted to the Attorney General and
Office of the Director
of Public Prosecutions for advice and action. The
Claimant says that he was "particularly aggrieved" by the fact that he was not
given a chance to provide his true account or to answer the charge against him.
The Claimant also alleges suffering from "anxiety"
when driving the
Mahindra.
- The
inconvenience listed by the Claimant includes having to contact media houses and
give interviews in an effort to "exculpate [his]
name", and having to hear and
respond to sarcastic and cruel remarks made about him and his vehicle, which he
still drives, from
acquaintances and strangers.
- The
Claimant made submissions as to his reputation and standing in society. As noted
in Crane v Rees, damages for loss ofreputation are not available in a
claim for breach of constitutional rights. However, the question of reputation
can be considered by this Court as a "factor that has to be taken into account
in determining the distress and inconvenience suffered"27 by the
Claimant. It is apparent from the Claimant's submissions that he considers
himself as a person having a good reputation. He
lists the numerous high
profile
27 Crane v Rees, sz,pra at 425.
positions he has held, and awards he was given over the years. The Claimant
states that he "continue[s] to stand on [his] impeccable
record as a
professional and private citizen in Belize", but that the comments and opinions
of the members of the public show that
the "reckless statements" made in the
Report had an impact on the views of the public towards him, which has caused
him "great distress
as [he is] left feeling embarrassed and degraded".
- Considering
the unchallenged assertions of the Claimant as to the level of distress and
inconvenience caused to him as a result of
the Commission's findings, and having
regard to Barrow, Patt, and the other precedents cited by the parties
(especially Bevans, Rudon, and Crane v Rees), this Court finds
that an amount of $75,000 in compensatory damages is appropriate in this
case.
Vindicatory Damages
- Vindicatory
damages are appropriate in the circumstances of this case. In this Court's view,
while the rights infringed are undoubtedly
important and their breach grave,
vindicatory damages are particularly necessary in this case to reflect the sense
of public outrage
and deter future breaches. This Commission oflnquiry was not
the first to take place in Belize, and will certainly not be the last.
Commissions oflnquiry play an important role in our democracy. Where there are
reasons for the public to be concerned by the conduct
of public officials or the
management of public institutions, Commissions oflnquiry offer the Government a
means to investigate and
make recommendations to end and prevent the further
recurrence of wrongdoing.
- However,
the imperative to get at the truth must not come at the cost of the fundamental
rights of those who are the subject of the
inquiry. Under the Commission cf
Inquiry Act,28 Commissions oflnquiry are given extraordinary
powers which allow commissioners to gather the evidence needed to uncover
wrongdoing.
But Commissions oflnquiry do not suspend the natural and
constitutional rights of those who are under inquiry. To the contrary, the
exercise of those extraordinary powers requires heightened vigilance to ensure
that those rights are protected and can be effectively
exercised. Where the
extraordinary powers given to Commissions oflnquiry are abused, as they were
here, the important democratic
goals they seek to achieve are threatened. The
public nature and the potential impacts of findings of wrongdoing on an
individual's
life and career require that conduct such as the conduct admitted
in this case be condemned and deterred.
- In
addition, this case is one where there is a sense of outrage that is deserving
of vindication. It was particularly outrageous for
the Claimant not to have been
made aware of allegations of wrongdoing against him, and not to be given an
opportunity to be heard.
It was all the more outrageous for the Claimant to
learn of the Commission's findings at the
28 Cap. 127 of the Substantive Laws of Belize.
same time as the public, via a media report. The fact that the Claimant was not
given the courtesy of a "heads up" before the news
broke is particularly
reproachable.
- Based
on the precedents provided to this Court, vindicatory damages in an amount
of
$50,000 would generally be appropriate in circumstances such as those in this
case. However, this Court acknowledges the Defendants'
readiness to admit and
take appropriate action to remedy the breaches of the Claimant's rights. While
those breaches should have
been avoided in the first place, the Defendants'
assumption of liability must be reflected in the amount awarded to the Claimant
as vindicatory damages. The Court also recognises that the Defendants were
imposed vindicatory damages in both Barrow and Patt for breaches
arising from the same Report. As noted by the Privy Council in JM,
vindicatory damages are not meant to "inflict punishment". In all of the
circumstances, $30,000 in vindicatory damages is appropriate.
IT IS HEREBY DECLARED AND ORDERED THAT
(1) The 1st through yd Defendants infringed the Claimant's right
to be heard by failing to issue a Salmon letter, disclose certain documents
and
provide the Claimant with the opportunity to respond to material that could cast
an unfavourable light on him;
(2) The Claimant's constitutional right to the protection of the law has been
infringed;
(3) An order for certirorari quashing those parts of the Report of the
Commission of Inquiry into the Sale of Government Assets dated the
6th January, 2022, more particularly: "[I]s is also more likely than
not that the Honourable Godwin Hulse also acquired a 2013 Mahindra
pickup (which
he continues to regularly use) in the name of Carl Gillette during the relevant
period. All these contracts were clearly
on account of the public service" is
granted;
(4) Compensatory damages in an amount of$75,000, and vindicatory damages in
an amount of$30,000 shall be paid by the 4th Defendant to the
Claimant;
(5) Costs of this Claim in an amount to be agreed or assessed shall be paid
by the 4th Defendant to the Claimant.
Dated June 26th, 2023
Genevieve Chabot Justice of the High Court
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URL: http://www.commonlii.org/bz/cases/BZSC/2023/74.html