CEPEP’s contractor, Stephen Samuel Enterprises Limited (“Samuel”), was yesterday ordered to pay CEPEP’s legal costs in the sum of $259,516.25 for a claim he had filed for an injunction to block CEPEP from terminating the CEPEP contract.
On 3rd July 2025, Samuel filed a claim seeking compensation in the sum of $4,777,000.00 together with interest and legal costs as damages for breach of contract. Had he succeeded, CEPEP’s financial risk exposure would have been over $5M but it would have set a precedent for all other contractors and could have potentially cost CEPEP and the country in excess of $4B.
Samuel also filed an application for an urgent injunction to restrain CEPEP from acting on the termination of his contract.
Samuel eventually discontinued his claim because it was discovered that his company had in fact been struck off from the Companies Registry by the Companies Registrar since February 2025. Yesterday, High Court Judge the Hon Madam Justice Marissa Robertson ruled that Samuel the company was ordered to pay CEPEP’s costs because of its conduct. In delivering her ruling, the Court was critical of the rush to file the claim and said that “pre-action protocol proceedings ought to have been pursued in a meaningful manner.”
Justice Robertson stated that the additional time might have actually benefited Samuel:
“…there was no material difference if the Claimant had provided the Defendant with a longer period, perhaps twenty-four (24) hours, to consider the proposed litigation. If the claim was delayed by one (1) day, there was not a material difference to the Claimant’s circumstances. In fact, the Claimant would have gained an opportunity or time to refer to the Companies Registry and to review if the status of the Company under the Companies Registry.”
The evidence filed in court by CEPEP revealed that Samuel was paid approximately $7 million by CEPEP in contracts over the past 7 years. His contract was suddenly extended by CEPEP’s Board for a further three years mere days before the last general election. This was done despite the fact that the existing contract had over a year left before it expired and could come up for renewal.
Board approval was granted to extend the contracts of all CEPEP contractors because the then Chairman Joel Edwards had informed the Board that cabinet had recently taken a decision and granted approval for all contracts to be extended. It has since emerged that there was no such cabinet approval and hence CEPEP was forced to terminate the extended contracts because it would commit the government to expenditure of over $1.4 Billion.
After Samuel withdrew his matter, another contractor, Eastman Enterprise Limited, filed an identical claim for breach of contract and injunctive relief against the termination of its contract with CEPEP. This matter was dismissed in both the High Court and the Court of Appeal on the basis that the Court was duty bound to respect and enforce the alternative dispute resolution process that the parties had contractually agreed to. Eastman was also held liable to pay CEPEP’s legal costs in both the High Court and the Court of Appeal. Those costs are soon to be assessed.
CEPEP is pleased that it has been vindicated in these matters and maintains that the decision to extend all CEPEP contracts on the false premise that Cabinet had authorised this is a cause for great concern. It was a gross misrepresentation that was perpetuated upon the company and the people. The Company is therefore committed to seeking justice against those responsible for this fiasco and intends to consult its line minister, the Honourable Minister Barry Padarath on these matters. Anyone guilty of breaching their fiduciary duty and responsibility to CEPEP should face the full brunt of the law and CEPEP is committed to leaving no stone unturned in its quest for justice.
Stephen Samuel was represented by Mr. Larry Lalla SC, Mr. St. Clair Michael O’Neil and Mr. Kareem Marcelle.
CEPEP was represented by Mr. Anand Ramlogan SC, Mr. Kent Samlal, Mr. Jared Jagroo, Ms. Aasha Ramlal and Ms. Clarisa Ragoonanan.
