THE country owes more than $500 million in outstanding payments on awards to people who have successfully sued the Government in the name of the attorney general.

Attorney General Marlene Malahoo Forte has disclosed that, at the end of 2015/16, the records of the Ministry of Justice reflected that the Government was liable to pay to judgement creditor the sum of $279.5 million plus US$181,778 (approximately $302 million) for that financial year.

“As at June 27, 2016, the amount due for payments out is $462,067,189.00 and US$396,111.96. Expressed in Jamaica dollars, the sum is $512,006,489.52,” she told the House of Representatives last Tuesday.

She noted that the figure does not include judgement debt interest, which is currently six per cent per annum and runs from the date of judgement until payment.

However, she pointed out that the over $500 million debt as at June 27, 2016 also includes amounts outstanding from 2014/15.

Malahoo Forte said that the approved budget for her office was $343.1 million, which will cover some of the liability which arose in 2015/16.

“As at June 27, 2016, only three months into the new financial year, the amount provided in the 2016/17 budget has already exceeded by the amount owed by $169,829,489.52,” she said.

She said that her department and the Ministry of Justice have agreed on a system of payment of “first in, first out basis”, in relation to the time when the relevant documents are provided to the Ministry of Justice.

The department and the ministry expect to complete all payments due for 2014 by the end of this month.

“Come August 2016, we anticipate that we will commence payments due for the year 2015,” Malahoo Forte said, while acknowledging that this was “far from desirable”.

“Given the gravity of the situation, a special submission was considered by Cabinet on the need for additional funds to settle Government liability. I am pleased to advise that Cabinet has hinted at a favourable consideration and will include the matter as part of the debt-reduction strategy,” she said.

“We also have to seriously consider revising the Judicature (Supreme Court, rate of Interest on Judgment Debts) Order 2006. However before we make any move, I will be sure to meet with the Bar to discuss the matter,” she said.

—Balford Henry