Steps Being Taken to Address Issues at FCJ

Prime Minister, the Most Hon. Andrew Holness says the necessary steps are being taken to address issues raised by the Auditor General in its report on the Factories Corporation of Jamaica (FCJ).

Addressing the House of Representatives on September 13, Mr. Holness said the newly appointed Chairman of the Board of the FCJ has been charged to implement the recommendations made to ensure that the issues identified do not reoccur.

In the report, the Auditor General found unacceptable practices in some areas of the operation of the FCJ.

The Prime Minister informed that on September 6, representatives of the Board of Management gave an update to Cabinet on the status of actions that have been taken to date.

“Let me state here that given reports that I have received to date, I am satisfied that the Chairman of the Board has taken the mandate that I have given them seriously, and is working in earnest to bring order to the Corporation and to restore public confidence in its leadership and management,” Mr. Holness said.

The Prime Minister said the Auditor General found that the Board was operating without the requisite subcommittees to deal with compliance.

He said as a result, recommendations have been made that the FCJ should review its governance practices and implement systems to ensure that it is compliant with the Public Bodies Management and Accountability (PBMA) Act and relevant regulations.

Mr. Holness said the Board has now appointed several subcommittees with the specific task of ensuring good governance and accountability in the operations of the FCJ.

The Prime Minister said the Auditor General also pointed out that there were weaknesses in the human resource management of the FCJ.

Mr. Holness added that the new Board has been tasked to strengthen the human resources capacity “and that they fill the positions that are there with persons who are at a competent level”.

Meanwhile, Mr. Holness noted the transfer of 11.58 acres of commercial land valued at $164 million to a private Trust for $10,000. He said this decision was made by the Cabinet under the previous administration.

The Prime Minister said the Cabinet has instructed the Attorney General to review the matter.