PHILIPSBURG--St. Maarten Housing Development Foundation (SMHDF) was ordered by the court on Friday to award damages to Financial Controller Emilio Kalmera (38) and Executive Assistant Miurica Williams (30).

 

Both had challenged their suspensions without pay by SMHDF’s Supervisory Board as per December 12, 2014. In both cases the court found it proven that the Housing Foundation had been in default, and ordered it to pay damages to the tune of NAf. 56,268 to Kalmera and NAf. 45,400 to Williams.

 

Their cases were related to Managing Director Henry Lynch, who saw his service agreement with SMHDF end on February 4, based on a host of allegations concerning financial mismanagement and embezzlement.

 

Representing Kalmera and Williams in their legal action, attorney Cindy Marica had called her clients’ suspension invalid and illegitimate. Marica said furthermore that SMHDF had not worked diligently in dealing with the cases against her clients and called the allegations against them unclear.

She demanded payment of the litigants’ salaries until their labour agreements were terminated legally and demanded rectification of a press release by SMHDF’s lawyer Jairo Bloem that was sent to the media on March 11 in which Bloem had summed up a large number of allegations.

 

Kalmera was appointed as financial controller as per August 1, 2012, on a three-year contract, expiring on July 31, 2015. Williams has been working as a secretary with the foundation since 2004; and on a permanent basis from 2006.

 

Both were suspended pending the outcome of forensic investigations by Government Accountants Bureau SOAB into allegations of “fraud, embezzlement, violation of human-resource procedures, forgery of documents and deliberate mismanagement of funds and assets of SMHDF,” according to the foundation’s attorney in his letter of December 12, 2014.

 

Lynch was also suspended on the same date and was dismissed later. The case caused a lot of commotion, which led to SOAB halting its investigations. In the meantime, SMHDF has commissioned another forensic investigation by a different institution.

 

In its ruling, the Court stated that both Kalmera and Williams had been confronted with “serious but up to date unfounded allegations,” which was considered a violation of the principles of a good employer.

 

SMHDF’s statements in the media had harmed their good names and reputation. The Court, therefore, arrived at the conclusion that there was a serious breach in confidence and an unworkable employment relationship between the Housing Foundation and its two management team members.

 

In its ruling, the Court attached much weight to the fact that the allegations and reproaches against both litigants had been insufficiently substantiated. According to SMHDF, Kalmera and Williams must have been aware of Lynch’s actions and wrongdoings. It was held against them that they had not done anything to prevent this.

 

According to Kalmera he had, on occasion, spoken with Lynch about these irregularities, but he had also pointed out that it was not his task to “control and deal” with his Director. He said his main task had been to control the budget. He refuted statements that he had travelled to Belize for private reasons, as it, in fact, was considered a business trip to view projects in connection with future plans in St. Maarten.

 

Williams had pointed out that she was subordinate to Lynch and had never facilitated or been aware of any malpractice. She also contested that she had received any unauthorized favours, such as loans.

 

The Daily Herald