Minister of Local Government and Regional Development, Sonia Parag, has formally written to Alfred Mentor, Mayor of Georgetown, over the alleged unlawful implementation of a “financial regulation” by the Georgetown Mayor and City Council.
In a letter addressed to Mayor Mentor and seen by the News Room, Minister Parag condemned the actions of the Mayor and the APNU+AFC-aligned Councillors for what she describes as “unlawfully passing and seeking to implement” a purported regulation aimed at waiving interest on outstanding rates and taxes owed by property owners within the municipality.
According to the Minister, the claim that the legal authority for such a regulation is derived from the Municipal and District Councils Act, Cap. 28:01 of the Laws of Guyana, is unfounded and “without legal merit”. Parag emphasised that the Act specifically vests the authority to make financial regulations with the Minister of Local Government and Regional Development, not the Mayor.
Section 146(1) of the Act clearly states that “the Minister may make financial regulations for controlling and managing financial business of councils.” The Minister further clarified that the regulation should cover areas such as accounting, borrowing, tendering, and the receipt of revenue—none of which empower the Mayor or City Council to enact or implement financial regulations independently.
“Subsidiary legislation, by its nature, must be made by the authority designated by statute. You are not that authority,” Minister Parag asserted in the letter. “Any attempt to do otherwise is ultra vires and legally void.”
Furthermore, the Minister reminded Mayor Mentor that for any subsidiary legislation to come into effect, it must be published in the Official Gazette, a step which the Mayor is not authorised to perform.
Minister Parag also expressed concern over the Mayor’s apparent disregard for the legal procedures and authority, noting the failure to consult with her as the responsible Minister. “You acted unilaterally under a false claim of legal entitlement,” she wrote, pointing out that such actions had been framed as being in the public interest, despite lacking the legal foundation to do so.
The Minister referenced a significant ruling by the High Court in 2022, which stated that local democratic organs are not free from legal constraints under Article 75 of the Constitution. The ruling reaffirmed that local councils must adhere to the statutory limits outlined in both the Municipal and District Councils Act and the Local Government Commission Act.
In response to the situation, Minister Parag stated that she had consulted with the Attorney General and was prepared to take legal action if necessary. She warned that any attempts to enforce the so-called financial regulation would result in immediate legal proceedings. “Any sums due and owing to the treasury that are unlawfully waived under this measure will be recovered through civil proceedings against you and the responsible parties personally,” she cautioned, adding that the matter would be reported to the Police for appropriate action.
In closing, the Minister demanded that the Mayor cease and desist from pursuing the regulation with immediate effect.
The letter, which was also copied to the Town Clerk of the Municipality of Georgetown and the Attorney General and Minister of Legal Affairs, underscores the Minister’s firm stance on upholding the legal framework governing local government financial matters.
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