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Page 1 of 96
TRINIDAD AND TOBAGO
IN THE HIGH COURT OF JUSTICE
CV 2006-02092 HCA #1386 of 2003
BETWEEN
CONRAD ALEONG Claimant
AND
TRINIDAD EXPRESS NEWSPAPERS LIMITED
Limited
CRAIG REYNALD, SUNITY MAHARAJ & CAMINI MARAJH
Defendants
Before: The Hon. Mr. Justice Bereaux Appearances: Russel Martineau SC, & Ian Benjamin for the claimant Alvin FitzPatrick SC, & Faarees Hosein for defendants
REASONS
Introduction
[1] On 16th April, 2009, in an oral judgment, I granted judgment for the claimant, holding
that he had been libelled by the defendants in respect of seven of eight articles
published between 6th April, 2003 and May 3rd, 2003. I awarded the sum of four
hundred and fifty thousand dollars ($450,000.00) general damages with interest at
12% from the date of the writ as well as exemplary damages in the sum of two
hundred thousand dollars ($200,000.00). I found that one article, an editorial
published on 20th April, 2003, constituted fair comment. The oral judgment, though
summarily given, was taken from a fully handwritten script, not all of which was read
Page 2 of 96
out but which now forms the basis of my reasons for decision which I now set out
hereunder.
[2] The claimant contended that eight (8) articles published by the first defendant, the
Trinidad Express Newspapers Limited, were defamatory of him. The publications
were made on successive Sundays over five weeks from April 6, 2003 to May 4, 2003.
He was then the president and chief executive officer of the now defunct BWIA (West
Indies) Limited (“BWIA”), which was described as the national airline of Trinidad and
Tobago. BWIA was a public company listed on the Trinidad and Tobago Stock
Exchange. The government of Trinidad and Tobago owned forty-nine per cent of its
shares.
[3] The articles in question were seven articles researched and written by the fourth
defendant and printed and published in the Sunday Express over the period in
question, headlined as follows;
(i) “How BWIA’s flight plan went off course” dated Sunday April
6, 2003 (‘the first article’).
(ii) “BWIA fighting to stay in the air” dated Sunday April 13,
2003 (“the second article”).
(iii) “Aleong’s Pay Deal” dated Sunday April 13, 2004 (“the third
article”)
(iv) “BWIA $m bailout, but …” dated Sunday April 20, 2003 (“the
fourth article”)
(v) “BWIA’s Board blanks Government… demands Manning’s
bailout plan in writing” dated April 27, 2003 (“the fifth
article”)
(vi) “BWIA Board to meet Government on Tuesday” dated May 4,
2003 (“the sixth article”).
Page 3 of 96
(vii) “Fat cows can’t fly” dated Sunday May 4, 2003 (“the seventh
article”).
[4] The other article was in fact an editorial captioned “Passing the BWIA buck”,
published in the Sunday Express on 20th April, 2003 and was written by Mr. Maxie
Cuffie, who was then head of news at TV6, a television broadcasting station owned
and operated by the parent company of the first defendant.
[5] The articles concerned the claimant’s stewardship of BWIA, an airline company then
majority owned by the government of Trinidad and Tobago. The airline, which had a
history of financial dependency on the government of Trinidad and Tobago, had once
again approached the government for financial assistance and its future was the subject
of much public debate.
[6] The defendants raised qualified privilege as their main defence. This defence is now
governed by the decision of the House of Lords in Reynolds v Times Newspapers
Ltd [1999] 3 WLR 1010. The defence of qualified privilege arises only after the
articles are found to be defamatory. The Reynolds Privilege defence seeks to strike a
balance between competing public interest concerns, the protection of the reputation of
the individual and, the right of the press to publish (and the right of the public to
receive) frank and unrestricted information from a particular source.
[7] The balance is struck by seeking to adhere to a standard of responsible journalism.
This requires that a court first consider whether the publication was in the public
interest. In matters of public interest, it is now to be accepted, as a general proposition
of law, that there is a professional duty on the part of journalists to impart information
to the public and an interest in the public receiving it. (per Lord Hoffman in Jameel &
Others v The Wall Street Journal Europe spr [2007] 1A C 359). Once such a
public interest is established, those duties are taken as existing and the court then has
to consider, whether, on the facts of the particular case, the maker of the publication
(and to a lesser extent the publisher) had acted responsibly, taking into account certain
guidelines and considerations.
Page 4 of 96
[8] I found the seven articles to be defamatory. I also found that while there was an
obvious public interest in having the articles published, on the facts of this case the
seven articles could not be said to have been the products of responsible journalism.
The parties
[9] The claimant is a chartered accountant since 1972 and a member of the Canadian
Institute of Chartered Accountants. He practiced as a chartered accountant at Price
Waterhouse Coopers in Canada between 1974 and 1993 and held a series of
managerial positions with Air Canada, a commercial airline company. Between 1995
and 1997, he was president of ALM Antillean Airlines. He was president and chief
executive officer (“CEO”) of BWIA from 1993 to 1994 and 1998 to May 2003. He
was also the chief executive officer of Air West Indies Limited, (“AWIL”) trading as
CA International, which was his own company and which had an executive supply
contract with BWIA.
[10] The claimant was also the chairman of the local airline, Tobago Express Limited, a
director of Allied Caterers Limited and of Katerserv Limited, (both of which were, at
one time, subsidiary companies of BWIA), a director of West Indian Airways Aircraft
Limited (“WIAAL”) and a director of West Indian Airways Aircraft No. 2 Limited
(“WIAAL (No. 2)”), both of which were subsidiary companies of BWIA and were
incorporated in the Cayman Islands. He was also the chairman of the United Way of
Trinidad and Tobago, a non profit company incorporated under the laws of Trinidad
and Tobago.
[11] The first defendant is the proprietor and printer of two newspapers, the Sunday
Express and the Daily Express. It is also the proprietor and publisher of the web-site
known as “The Internet Express” which is accessible to any user of the World Wide
Web system of the Internet. The second defendant was joint publisher of both
newspapers. The third defendant was editor of the Sunday Express and the fourth
defendant (Ms Marajh) is a journalist employed by the first defendant for over twenty
years. The Sunday Express describes itself as the national newspaper of Trinidad and
Tobago and has the largest circulation of all newspapers in Trinidad and Tobago.
Page 5 of 96
The claimant’s case
[12] The claimant alleged that in early March 2003, the fourth defendant requested an
interview with him about allegations made against BWIA in a high court action
brought by a minority shareholder of BWIA. The action had been withdrawn. After
initially declining the interview, he had a change of heart and agreed. According to
the claimant, Ms Marajh represented (or misrepresented) to him that the focus of the
story would be on the state of the airline industry and how BWIA was coping. A four
hour interview was conducted on the 2nd day of April, 2003. During the course of the
interview, the claimant furnished Ms Marajh with certain documents which provided
information about BWIA, relevant to her enquiries, including the figure for the total
executive payroll of BWIA, the executive supply contract between BWIA and AWIL
and other information pertinent to BWIA and the claimant’s role therein.
[13] On 5th April, 2003, the defendants advertised on the front page of the Saturday
Express, an “exclusive investigation” to be published in the Sunday Express entitled
“Inside the BWIA fiasco”, encouraging members of the public to purchase the Sunday
Express and to read the articles published therein. The claimant contended that
through the subsequent articles in the Sunday Express, the defendants falsely and
maliciously wrote, printed and published, words defamatory of him, in the way of his
offices as president and CEO of BWIA and as president and CEO of AWIL and his
profession. Extracts from the articles containing the alleged defamatory words are
included in the statement of claim. The full articles were admitted into evidence and
are (mostly) reproduced later in this judgment.
[14] The claimant contended that the words in their natural and ordinary and inferential
meaning, meant and were understood to mean, that the claimant-
• was or was reasonably suspected of being greedy or motivated
by greed;
• engaged in, or was reasonably suspected of having engaged in
smear tactics, personal vendettas, secret, shady and suspicious
Page 6 of 96
deals, financial impropriety, fraudulent, suspicious and
questionable accounting practices, suspicious and questionable
and unethical or illicit shady and clandestine dealings or
business practices, improper and illegal activities.
• was incompetent or was not accountable;
• was involved in dishonest or fraudulent or corrupt dealings and
activities;
• had compromised or was reasonably suspected of having
compromised or sacrificed, or participated in compromising or
sacrificing, the interests of BWIA and the shareholders of
BWIA to private individuals including himself;
• conspired or had conspired with others or was reasonably
suspected of conspiring with others to establish secret
companies in offshore locations for illegal and improper or
illegitimate purposes;
• had manipulated or participated in the manipulation of the
accounts of BWIA in a manner calculated to mislead and
defraud and for his own financial gain;
• had given away, or conspired with others to give away, assets
or income generating assets of BWIA to, or to benefit private
individuals;
• was getting rich at the expense of BWIA and its shareholders;
• was a liar, was evasive;
• was guilty of deception, or shocking or shameful conduct;
Page 7 of 96
• had demonstrated conduct which merited review or
investigation;
• did not act, or had not acted, or was reasonably suspected of
not having acted in the interest of BWIA or its shareholders or
employees but in his own self-interest;
• was unfit to hold office as president and CEO of BWIA or
other business entity;
• had committed, or was reasonably suspected of committing,
illegal and unethical or unprofessional acts;
• should be dismissed as president and CEO of BWIA.
[15] The claimant alleged that the Sunday Express enjoys a readership of approximately
79,000 in Trinidad and Tobago, as well as other readers in the Caribbean and on the
internet, all of whom would have read the articles. The facts and matters therefore,
would have been known to a substantial but unquantifiable number of unidentifiable
readers who would have understood the words to bear those meanings.
[16] The claimant relied on the following facts and matters in support of his claim for
damages (including aggravated damages) -
• the defendants embarked upon and pursued an orchestrated and
relentless campaign to discredit him;
• the articles complained of, were published by the defendants
on dates closely following one another;
• the second defendant, Craig Reynald, had been terminated
from BWIA by the claimant on the 30th day of June, 1993, as
the second defendant and Ms Marajh well knew;
Page 8 of 96
• Mr. Reynald was a close friend of Captain Goddard, a pilot
employed by BWIA who was antagonistic to the claimant and
who had openly questioned the claimant’s authority, as the
second defendant and Ms Marajh well knew;
• Orion Ganase (son of Pat Ganase, former director, Corporate
Communications of BWIA, who was terminated from BWIA
by the claimant, as Ms Marajh well knew) had written negative
articles in the Express concerning BWIA;
• the articles referred to, contained many of the allegations raised
in the withdrawn High Court Action;
• following the publication of one of the articles, the claimant
complained to the second defendant via letter dated the 2nd day
of October, 2001, that there may be a conspiracy to discredit
him;
• on the front page of the Saturday Express dated the 5th April,
2003, the defendants advertised highlighted and promoted an
“exclusive investigation”, to be published in the Express
newspaper under the caption “Inside the BWIA fiasco” thereby
encouraging members of the public to purchase the Sunday
Express to read the articles;
• at the time of the publication, BWIA was making, or had made,
a submission to the government, a major shareholder, for
emergency financial assistance to save BWIA, as Ms Marajh
well knew;
Page 9 of 96
• at the date of the publication, there was considerable public
interest and widespread media coverage of the operations of
BWIA;
• the claimant requested an apology from the defendants and
requested that they desist from publishing any similar libel but
instead the defendants ignored and disregarded the request and
with cynical disregard for the claimant’s rights, published
subsequent articles concerning him;
• on page 12 of the Express dated 8th April, 2003, the defendants
printed and published letters to the editor, referring to Ms
Marajh and praising one of the articles referred to;
• on or about the 9th April, 2003, BWIA issued a press release
which sought to correct the inaccuracies and libels contained in
the article but the defendants in a subsequent article,
mockingly referred to the press release and ignored same;
• following the publication of the articles, the government agreed
to provide financial assistance to BWIA on the basis of a
precondition that BWIA implement a review and revision of
executive compensation contracts and a review of the
management team in the shortest possible time;
• the fourth defendant is an award winning journalist.
[17] In support of his claim for exemplary damages, the claimant contended, additionally,
that;
• the words were published by the defendants in a sensational
and prominent manner and with a reckless disregard as to the
accuracy thereof and whether the words were libellous of him;
Page 10 of 96
• the words were published with eye-catching headlines and with
photographs of the claimant and on dates closely following one
another;
• the defendants knew or ought to have known that the
allegations contained in the articles were untrue;
• the claimant had furnished Ms Marajh with documents and
information giving the facts which were the subject of the
articles;
• the defendants had advertised, highlighted and promoted the
“exclusive investigation” thereby encouraging members of the
public to purchase the Sunday Express to read the articles;
• the first and second defendants falsely printed and maliciously
published or caused to be printed and published the words of
and concerning the claimant and of him in the way of his
offices;
• the claimant had complained to the second defendant that there
may be a conspiracy to discredit him;
• the defendants knew or ought to have known that the
allegations complained of, would be of a particularly
sensational nature and that the defendants published the words
knowing that they were libellous, having established that the
prospect of material advantage outweighed the prospect of
material loss;
• the claimant requested an apology from the defendants which
was ignored or disregarded;
Page 11 of 96
• the defendants mockingly referred to the press release issued
by the claimant in one of the articles complained;
• the first defendant is a successful company with substantial
financial resources.
The defendant’s case
[18] There was no dispute that publications refer to the claimant in his professional capacity
as president and CEO of BWIA and as a director of its two subsidiaries and to his
consultancy company Air West Indies Limited (“AWIL”). The defendants also
admitted;
(a) that on 2nd April, 2003, Ms Marajh interviewed Mr. Aleong
before the series was published;
(b) that Mr. Aleong provided Ms Marajh at that interview with
certain documents;
(c) that on 5th April, 2003 the newspaper advertised and promoted
the series as an exclusive investigation “Inside the BWIA
Fiasco”;
(d) the wide circulation of their publications;
(e) their availability on the internet;
(f) that immediately after the first of the series was published, the
claimant sent a pre-action letter dated 7th April, 2003, seeking
an apology and a stop to any further publication in the series;
(g) that they chose to go ahead with the rest of the series.
[19] With respect to the seven articles and the editorial, the defendants raised three
defences-
Page 12 of 96
(i) as to all eight articles, that the words did not bear, nor were they
capable of bearing, nor understood to bear, the meanings
pleaded;
alternatively,
(ii) as to all eight articles, that their publication were on occasions of
qualified privilege;
(iii) as to the editorial, that the words of the editorial constitute fair
comment on a matter of public interest, to wit – the conduct of
the claimant in his role as president and CEO of BWIA, having
regard to BWIA’s financial difficulties and to the approach by
BWIA to the Government for financial assistance.
[20] Ms Marajh denied that she represented to the claimant that the focus of the proposed
interview was to be limited to the state of the airline industry and how BWIA was
coping with the same but added that if she so represented then the claimant, by his
own actions in answering the questions relating to the matters reported in the articles,
widened the scope of the interview.
[21] The particulars upon which the defences of qualified privilege and fair comment were
based included the following -
• the claimant was (a) CEO of BWIA (b) president and CEO of
AWIL, (c) a director of WIALL and WIAAL (No. 2), (d) a
director of Katerserv Limited, a company in which WIAAL
(No. 2) was a fifty-five per cent (55%) shareholder, (e)
chairman and director of Tobago Express Limited;
• BWIA was a company listed on the Trinidad and Tobago Stock
Exchange in which the government held a forty-nine per cent
(49%) shareholding and was the major shareholder, the other
Page 13 of 96
shareholders comprising citizens of Trinidad and Tobago and
other private investors;
• in or about 1998, AWIL entered into a performance based
executive supply contract with BWIA to supply key personnel
to manage the operations of BWIA. Under the contract, fees
were payable monthly and were related to the remuneration
payable to key management personnel;
• as part of the contract, BWIA granted to AWIL, options to
acquire up to six hundred thousand (600,000) shares at US
$0.25 per share by no later than January 31st 2001. As at the
time of publication of the third article, AWIL had exercised its
right in respect of the two hundred thousand (200,000) shares;
• in pursuance of a public share offer by BWIA in 2000, a
prospectus was issued in which details of the contract were
given but the value of the contract was not stated;
• in or about December 2000, BWIA offered for sale to members
of the public, twelve million (12,000,000) shares at a price of
one US dollar and twenty five US cents ($1.25), representing
27% of the BWIA’s ordinary share capital and voting rights
and 23% of BWIA’s issued share capital;
• BWIA, as a company listed on the Trinidad and Tobago Stock
Exchange, was required to publish its audited accounts and
financial statements and to file the same with the Trinidad and
Tobago Securities and Exchange Commission;
• the claimant had a key role to play in BWIA’s approach to the
government for funds to assist the airline to pay its creditors in
order to continue its operations and to keep the airline from
being placed into receivership;
Page 14 of 96
• in or about November 2002, it was widely reported in the
media that the government agreed to provide BWIA with a
loan of thirteen million, seven hundred and fifty thousand
United States dollars (US $13,750,000.00) to be paid in a series
of instalments;
• in or about January 2003, it was widely reported in the media
that the government issued a letter of comfort to BWIA to
borrow seven million, seven hundred thousand United States
dollars (US $7,700,000.00) as part of the financial assistance
agreed to be given;
• in or about January 2003, BWIA retrenched six hundred and
seventeen (617) of its employees in an effort to reduce its
operating costs and to make the airline financially viable;
• in or about March 2003, the claimant was reported to have
stated in the media, that BWIA’s then current daily loss was
one hundred thousand United States dollars (US $100,000.00);
• it was reported in the media that in or about late March 2003, a
delegation from BWIA met with the Ministry of Finance
seeking financial assistance for the airline;
• the government was reported in the media to have given BWIA
a two week deadline to come up with a plan to give BWIA
viability in the future;
• on or about 27th March, 2003, Prime Minister and Minister of
Finance, Mr. Patrick Manning was reported in the media to
have stated that the business plan submitted by BWIA’s
management was not as good as was first thought and that was
why BWIA had returned in or about March 2003 for more
financial assistance;
Page 15 of 96
• on or about 1st April, 2003, the claimant met with Mr. Manning
to outline the financial assistance needed to bail out the airline;
• at a post Cabinet news conference held on 17th April, 2003,
Minister of Information and Public Administration, Dr. Lenny
Saith, stated that the Cabinet had agreed to lend one hundred
and sixteen million, eight hundred thousand dollars
($116,800,000.00) to BWIA, subject to several conditions,
inter alia, a review of the management structure of the airline
and the management team, the improvement of productivity,
the reduction in pay of BWIA’s executives and the review of
salaries and allowances of all BWIA’s employees;
• at the news conference, Minister in the Ministry of Finance,
Mr. Kenneth Valley stated that if the government were
convinced of BWIA’s management, it would not have asked
for a review and that the government needed to know;
• at the news conference, Minister of Information, Dr. Lenny
Saith also indicated that it was the government’s intention to
send a consultant into BWIA to advise, inter alia, on the
merger of BWIA with LIAT, to form one regional airline;
• the plan requested by the government was submitted by BWIA
on or about 8th April, 2003, which plan was to be analysed by a
government team lead by Dr. Lenny Saith;
• the matters reported in the articles were fully investigated by
Ms Marajh and information obtained from various sources was
reasonably considered to be reliable, responsible and
authoritative and on which information, the claimant was
invited to give his explanations and responses and which
responses and explanations were published in the articles;
Page 16 of 96
• the articles were published after an in-depth interview between
the claimant and Ms Marajh in which all the matters reported
in the articles were raised and fully and frankly discussed and
the claimant’s responses were reported in the articles;
• the articles were published with an honest belief in the truth of
the matters contained therein and without malice or reckless
disregard for the truth or falsity of the matters;
• the publication of the matters contained was in the public
interest and that the defendants acted responsibly in writing,
printing and publishing the same;
• the defendants and each of them, in the premises, were under a
social, moral and civic duty to publish the articles which were
concerned with matters of the public interest and the members
of the public to whom publication of the articles were made,
had a corresponding interest in the matters reported and a like
duty and legitimate and proper interest to receive the same.
[22] The defendants relied on additional particulars in respect of the second, fourth, fifth,
sixth and seventh articles as well as the editorial. It is not necessary to set them all out
in this judgment. The defendants also denied -
• that they had embarked upon and pursued an orchestrated and
relentless campaign to discredit the claimant in the way of his
offices and his profession;
• that the second defendant was terminated by the claimant;
• that the defendants knew of any animosity between Captain
Goddard and the claimant;
• that Orion Ganase had written negative articles concerning
BWIA;
Page 17 of 96
• that the eight articles contained many of the allegations raised
in the high court action;
• that the advertisement published in the Saturday Express
encouraged members of the public to purchase the Sunday
Express and to read the articles on the “exclusive
investigation”;
• that there is a conspiracy to discredit the claimant.
[23] They denied the particulars of exemplary damages and contended that, at all material
times, they acted responsibly in publishing the seven articles and the editorial. They
also raised certain constitutional issues which were not pursued. In my judgment,
those issues were non-starters in light of Lord Nicholl’s dictum in Reynolds at page
1022 letter H to 1023 letter G.
Issues
[24] In order to have succeeded, the claimant was required to establish the fact of
publication, that the published articles referred to him and that they conveyed
defamatory meanings or imputations. It was then for the defendants to establish, in
respect of each publication, the defences relied upon: denial of meaning, Reynolds
privilege (which are both relied upon for all publications in the series) and fair
comment upon facts stated on a matter of public interest (relied upon only for the
editorial dated 30th April, 2003). There was no dispute that the publications referred to
the claimant. The initial issue for the claimant was, therefore, whether they conveyed
a defamatory meaning. Thereafter, it was for the defendants to establish their defence.
Meaning
The Law
[25] The modern approach is set out in the judgment of Sir Thomas Bingham MR in Skuse
v Granada Television Limited [1993] EWCA Civ. 34 [1996] EMLR 278 at
paragraph 14, where he spoke of the following eight considerations which are to be
taken into account in determining whether the report is defamatory. He said:
Page 18 of 96
“(i) The court should give to the material complained of the
natural and ordinary meaning which it would have conveyed
to the ordinary reasonable viewer …
(2) The hypothetical reasonable reader [or viewer] is not naïve but
he is not unduly suspicious. He can read between the lines.
He can read in an implication more readily than a lawyer, and
may indulge in a certain amount of loose thinking. But he
must be treated as being a man who is not avid for scandal and
someone who does not, and should not, select one bad meaning
where other non-defamatory meanings are available (per Neill
L.J. Hartt v Newspaper Publishing PLC. Unreported 26th
October, 1989 [Court of Appeal {Civil Division} Transcript No.
1015]:
(3) While limiting its attention to what the defendant has actually
said or written, the court should be cautious of an over-
elaborate analysis of the material in issue… Its audience
would not have given it the analytical attention of a lawyer to
the meaning of a document, an auditor to the interpretation of
accounts, or an academic to the content of a learned article.
In deciding what impression the material complained of would
have been likely to have on the hypothetical reasonable viewer
we are entitled (if not bound) to have regard to the impression
it made on us.
(4) The court should not be too literal in its approach. We were
reminded of Lord Devlin’s speech in Lewis v Daily Telegraph
Ltd. [1964] A. C. 234 at 277
Page 19 of 96
‘My Lords, the natural and ordinary meaning of
words ought in theory to be the same for the lawyer
as for the layman, because the lawyer’s first rule of
construction is that words are to be given their
natural and ordinary meaning as popularly
understood. The proposition that ordinary words
are the same for the lawyer as for the layman is as
a matter of pure construction undoubtedly true.
But it is very difficult to draw the line between pure
construction and implication, and the layman’s
capacity for implication is much greater than the
lawyer’s. The lawyer’s rule is that the implication
must be necessary as well as reasonable. The
layman reads in an implication much more freely;
and unfortunately, as the law of defamation has to
take into account, is especially prone to do so when
it is derogatory.’
(5) A statement should be taken to be defamatory if it would tend
to lower the plaintiff in the estimation of right-thinking
members of society generally (Sim v Stretch [1936] 2 All E.R.
1237 at 1240) or would be likely to affect a person adversely in
the estimation of reasonable people generally (Duncan &
Neill on Defamation, 2nd edition, paragraph 7.07 at pg. 32).
(6) In determining the meaning of the material complained of the
court is ‘not limited by the meanings which either the claimant
or the defendant seeks to place upon the words’ (Lucas-Box v
News Group Newspapers [1986] 1WLR 147at 152H).
Page 20 of 96
(7) The defamatory meaning pleaded by a plaintiff is to be treated
as the most injurious meaning the words are capable of
bearing and the question a judge sitting alone has to ask
himself are, first, is the natural and ordinary meaning of the
words that which is alleged in the statement of claim and,
secondly, if not, what (if any) less injurious defamatory
meaning do they bear? (Slim v. Daily Telegraph Ltd. above,
at pg. 176).
(8) The Court of Appeal should be slow to differ from any
conclusion of fact reached by a trial judge. Plainly, this
principle is less compelling where his conclusion is not based
on his assessment of the reliability of witnesses or on the
substance of their oral evidence and where the material before
the appellate court is exactly the same as was before him. But
even so we should not disturb his finding unless we are quite
satisfied he was wrong.”
[26] See also the decision of the English Court of Appeal in Gillick v Brook Advisory
Centres & Jones [2001] EWCA Civ. 1263 (an interlocutory appeal in respect of Part
53 P D 4.1 of the English Civil Procedure Rules) in which it approved the following
dictum of Eady J:
“The court should give the article the natural and ordinary
meaning which it would have conveyed to the ordinary reasonable
reader reading the article once. Hypothetical reasonable readers
should not be treated as either naïve or unduly suspicious. They
should be treated as being capable of reading between the lines and
engaging in some loose thinking, but not as being avid for scandal.
The court should avoid an over-elaborate analysis of the article,
because an ordinary reader would not analyse the article as a
Page 21 of 96
lawyer or accountant would analyse documents or accounts.
Judges should have regard to the impression the article has made
upon them themselves in considering what impact it would have
made on the hypothetical reasonable reader. The court should
certainly not take a too literal approach to its task.
I also bore in mind when construing these articles that they were part of a series, each
designed to be read one after the other. The general rule is that a statement is to be
understood in the way in which a reasonable reader would understand it at the time of
its publication. Subsequent knowledge which causes the reader to look back on an
article in a different light will not make the initial publication defamatory. See Lord
Denning MR in Grappelli –v- Derek Block (Holdings) Ltd [1981] 2 All E R 272 at
page 274.
“…in defamation a cause of action arises (and a writ can be issued)
as soon as the words are published to a person then knowing all the
material facts. If there are extrinsic facts, he must know them then,
- at the time of publication. That is when a cause of action arises. It
cannot be made into a cause of action by reason of facts
subsequently coming to the knowledge of the reader or hearer.”
[27] See also the dictum of Eady J in Galloway –v- Telegraph Group Ltd [2004] EWHC
2786 (QBD) at para. 50 when he said:
“… when judging the meaning of the … articles, it is necessary to
bear in mind that many readers will have had a general impression
of their reading from the day before. It is legitimate to take that into
account when assessing the meaning of the second day’s coverage.
The reverse is not the case, since it is not permitted when attributing
a meaning or meanings to a published article to refer to subsequent
material.”
Page 22 of 96
(That latter approach has been the subject of criticism. Gatley on Libel
and Slander 11th edition at page … submits, attractively, that a series is
designed for the reader to read and view all of the material and bearing
in mind that in the case of a book published as (and treated by the law
as) one unit, the information in it can only in fact come to the readers’
attention over a period of hours, days or weeks as he reads it, common
sense would indicate that the series should be treated as one unit for the
purposes of determining the meaning of a particular part. The author
cites the Australian cases of Burrows v Knightly (1987) 10 NSWLR 651
and Bareya Pty v McKay Printing [2003] QCA 284, in support.)
[28] Similarly, where, as in the case of the seventh article, a newspaper article refers to
another report in the same issue, either party is entitled to have that read as part of the
context in which the meaning of the words complained of is to be determined. See
Gatley on Libel (supra) at para 3.32, citing, inter alia, Thorton -v- Stephen (1837) 2
M. & Rob 45 Bolton –v- O’Brien [1985] 16 L.R. Ir 483, affirming [1885] 16 L.R. Ir.
97. I turn then to my analysis of the articles themselves and my reasons for concluding
that they were defamatory.
First Article
[29] “How BWIA’s flight plan went off course”. – 7th April, 2003
The first article bears full reproduction if only because it was the first of the series and
set out a number of themes to which the author kept returning in the subsequent
articles.
“BWIA is hustling off the runway, buffeted, in part, by the
turbulence of the Gulf War, the lingering affects of 9/11, high
fuel prices and a global economic slowdown.
But in the soft underbelly of the airline, there are allegations of
greed, personal vendettas, smear tactics, secret companies in
offshore tax havens, suspicious profit from the sale and lease-
back of assets booked into the accounts as profit and a
Page 23 of 96
compensation package for the airline’s top brass to which only
the Prime Minister and a few members of the board are privy.
Conrad Aleong, the man in the eye of the storm, has also been
taking some hard knocks, over his management style, fights with
BWIA’s four unions, his private consultancy business, CA
International and accounting questions about the airline’s three
consecutive years of historic profits.
Aleong’s response was furious to questions about his private
company, CA International and specific BWIA transactions,
accusing the unions of spite and muckraking. He also dismissed
as “ridiculous” and “total rubbish” suggestions that he bolstered
BWIA’s bottom line by booking income from frequent sale and
leaseback of assets.
CA International was hired by the Lawrence Dupery BWIA board
of directors in January 1998 through a second Aleong company,
Air West Indies Limited. The performance based management
supply contract was not then, nor is it now disclosed to the full
board of directors
Aleong who was in the CEO’s chair at BWIA prior to the 1995
Acker privatization has scoffed at reports suggesting that his
private company, of which he is a director has benefitted from
any finders fees in respect of any transaction involving BWIA.
His company initially provided management supply contact for
BWIA’s top five people, including himself. He said he is not paid
anything for providing top management services to BWIA. The
CA contract, managed through an executive payroll paid out by
the company’s auditors, Price Waterhouse, Coopers (PWC) is
said to be worth well over US forty thousand dollars (US
$40,000.00) a month.
Page 24 of 96
Aleong who said CA was a Port of Spain registered name, had no
explanation for why it did not turn up in a search at the Registry
of Companies. Making clear that it was a “consulting division”
of his company, AWIL, he said he registered it as a brand name.
The records of the 1996 incorporated AWIL, however, reflect no
association to a CA International.
The name CA International turned up however, on the Cayman
registry as having been recently voluntarily struck off the register.
It was exempt from all filing requirements, including the names
of shareholders and or directors.
Aleong said the Cayman CA International was not his. He also
expressed surprise that a No. 2 company, bearing the identical
name to the wholly owned BWIA subsidiary, West Indies Aircraft
Ltd, turned up with the same registered address as the BWIA
WIAAL, as PO Box 265 GT, Georgetown, Grand Cayman.
“I have no idea who No. 2 is”, he said when asked if it was a
BWIA entity. He said he would have to check with the airline’s
corporate secretary. “I really don’t know those things. They
(company lawyers) arranged the corporate matters. They can
answer that”.
He said it could well be another BWIA company which owned
one of the BWIA-purchased Dash-8s. “I think we may have put
one aircraft on one company and another aircraft in another,” he
said explaining that it was much easier to dispose of an asset
through the sale of a special purpose company.
Told that WIAAL was listed as the financier of all three BWIA
Dash-8s 9Y-Wiz, WIL and WIP Aleong said: “I don’t know if
WIAAL has three planes.” He said he would have to check with
Page 25 of 96
the company’s lawyer. But airline sources said if the planes were
BWIA owned and held in a secret offshore company, they would
have to be properly disclosed in the accounts.
“…Coincidentally, WIAAL No. 2 is a stakeholder of Katerserv, a
company incorporated in 1998 by a piano technician and the
company holding a lucrative contact from a majority owned
BWIA subsidiary Allied Caterers Ltd. ACL has subcontracted its
entire catering facility to Katerserv of which BWIA now has a
small stake. Several BWIA officials, including Aleong, are listed
as directors. In the 2001 BWIA accounts, the catering operation
was said to be worth US three hundred and sixty million dollars
(US $360m). Aleong however, said it was cheaper to subcontract
facilities to Katerserv.
Also under scrutiny is a put option placed in a block of Equant or
SITA shares sold to an unidentified buyer for US five million
dollars (US $5m) in 2000. BWIA recorded a US two point four
million dollar (US $2.4m) profit on the transaction in its
December 2000 accounts.
Financial analyst and former Citi-banker Ved Seereeram claimed
the transaction was improperly recorded. “It should have been
recorded as a loan and not as a sale of assets for the purpose of
inflating profit and understating the liability,” he said, declaring
that “the whole transaction was a clear sign that the books were
manipulated to report a much better picture than the actual state
of affairs.”
But Aleong questioned: “Why would a chartered accountant firm
like PWC sign an audit statement if it was not acceptable
accounting practice?” he asked rhetorically. Declaring that he
did not deal with the matter, he said: “Why don’t you ask
Page 26 of 96
William Lucie Smith. He and our financial comptroller deal with
those questions and when they finish deal with those questions, it
is brought to the audit committee of the board. So I don’t
understand these questions.”
Lucie Smith, the managing partner of PWC said the questions
should be directed to BWIA. “I don’t know,” he said “you will
have to ask them direct”.
On the sale and leaseback of L1011 airplanes, Aleong said: “You
always do that when you are trying to raise some money.” Two of
the sales, however, were done in 2000, year three of BWIA’s
profits.
It is alleged BWIA broke several agreements with different
aircraft financiers prematurely to repurchase and resell L1011s.”
[30] The second paragraph of the article which begins with the qualification “but” and
which then speaks of allegations of greed, personal vendettas, smear tactics, secret
companies in offshore tax havens and suspicious profit, governs the entire tenor and
purport of the article and the series read as a whole. It suggests scheming, double
dealing, personal agendas and back-stabbing.
[31] The third paragraph then refers to the claimant as “Conrad Aleong, the man in the eye
of the storm has also (emphasis mine) been taking some hard knocks over his
management style” and refers to fights with BWIA’s four unions, his private
consultancy business and about accounting questions concerning the airline’s three
consecutive years of historic profits.
[32] The reference to the claimant being “in the eye of the storm” and that he has “also”
been taking hard knocks, leaves the reader in no doubt as to the subject of the article.
It goes on to mention the claimant’s name a total of thirteen times. Its headline refers
to the BWIA flight plan going “off course” but the substance of the article is in effect
an exposé on the business dealings of the claimant. Reference to the claimant as being
Page 27 of 96
“in the eye of the storm” suggests that the allegations were directed at him. The use of
the word “also” confirms it.
[33] After the sensationalised statement of greed and personal vendettas in paragraph 2, the
article goes on to particularize the allegations by referring to a number of business
dealings involving the claimant, to wit;
(i) suggestions as to whether he bolstered BWIA’s “bottom line
(profit)” by wrongly booking income from “frequent” sale and
leaseback of assets;
(ii) suggestions that his private company benefitted from finders
fees in respect of any BWIA transaction;
(iii) he had no explanation for why his companies did not turn up in
a search of the Companies Registry;
(iv) a ‘number 2 company’ bearing the identical name to the wholly
owned BWIA subsidiary West Indies Aircraft Ltd (WAAL)
turned up with the same registered address as that company
given as PO Box 265 G T, Georgetown, Grand Cayman;
(v) WIAAL No. 2 was a shareholder of Katerserv, a company
incorporated by a piano technician and which held a
“lucrative” contract with Allied Caterers Ltd (ACL), a
majority owned BWIA subsidiary. ACL subcontracted its
entire catering facilities to Katerserv which catering operation
was worth three hundred and sixty million United States
dollars (US $360,000,000.00) but the claimant said however,
that it was cheaper to subcontract ACL facilities to Katerserv;
(vii) the sale of the SITA shares was also under “scrutiny”, the
transaction was improperly recorded. It should have been
recorded as a loan and not as a sale of an asset and that the
Page 28 of 96
“books were manipulated to report a much better picture than
the actual state of affairs.”
(viii) the claimant’s explanations for the various transactions are
quoted but in a style which portrays his explanations in a shrill
and defensive manner which conveys, rather than dispels,
suspicion. Moreover, the tone of the articles is totally out of
keeping with the tenor of the claimant’s explanations in the
interview.
[34] The words in the article in their inferential meaning, meant and were understood by the
reasonable reader to mean that:
(i) the claimant was greedy or was motivated by greed;
(ii) the claimant engaged or had engaged in personal vendettas;
(iii) the claimant engaged or had engaged in smear tactics;
(iv) the claimant engaged or had engaged in secret and suspicious
deals;
(v) the claimant was incompetent;
(vi) the claimant was involved in or engaged in, or was reasonably
suspected of being involved in or engaged in suspicious,
questionable, shady, clandestine dealings or business practices;
(vii) the claimant was involved in and engaged in suspicious and
questionable practices;
(viii) the claimant had manipulated or participated in the
manipulation of the accounts of BWIA, a publicly listed
company for his own financial gain;
Page 29 of 96
(ix) the claimant had compromised or was reasonably suspected of
having compromised, or participated in compromising, or in
sacrificing, the interest of BWIA (of which he was president
and CEO) and the shareholders of BWIA to private
individuals;
(x) the claimant had given away, or conspired with others to give
away, assets, or income generating assets, of BWIA to benefit
private individuals;
(xi) the claimant was getting rich at the expense of BWIA and its
shareholders;
(xii) the claimant was guilty of deception;
(xiii) the claimant did not act, or, had not acted, or was reasonably
suspected of not having acted, in the interest of BWIA (of
which he is president and Chief Executive Officer) or its
shareholders, or employees but in his own self-interest.
The second article – 13th April, 2003 – “BWIA’s fighting to stay in the air”
[35] The second article, like all of the subsequent articles, is to be read in the context of
what went before it in the first article. I note that the first article ended with the
caption – “Next week – The BWIA Saga continues”. The article is set out at pages 4 &
5 of the newspaper but there is a banner headline on the front page of the newspaper
which speaks of BWIA and its financial difficulties. The reader is referred to page 6
to read the article to which that headline refers but the reader cannot but encounter the
second article set out at pages 4 & 5 on his or her way to page 6.
[36] The second article repeats the themes raised in the first article and again refers to the
claimant’s responses in the 2nd April interview in much the same way but amplifies the
details of the allegations. It is written in the same style and while the claimant’s
Page 30 of 96
opinions and comments are quoted extensively, they are usually followed by a
qualifying paragraph which undermines what the claimant earlier had said.
[37] The article begins by speaking of “cracks in the underbelly of the beleaguered
national airline which lead to a web of cross shareholdings and behind the scenes
dealing”, of the newspaper’s investigations revealing “a maze of transactions
involving offshore companies in the Cayman Islands, a supply contract with CA
International worth some thirty thousand United States dollars (US $30,000.00) a
month, significant company holdings that are not disclosed in the published accounts,
deals for a share of the catering business, third party beneficiaries in small start-up
companies and a free ride for the private stakeholders of Tobago Express”, like the
first.
[38] The article then goes on to examine these issues. Terms such as “web”, “behind the
scenes dealing” and “deals” suggest underhand and shady practices. The claimant is
then immediately quoted as “not knowing” of the existence of a second subsidiary
company of BWIA which was not disclosed in the published account. The manner in
which he is quoted suggests someone who is being evasive and defensive. It also
points to the claimant’s competence.
[39] The article was, in my judgment, defamatory of the claimant in that the words in the
article would have been understood, inferentially, by the reasonable reader to have had
the meanings set out at paragraph 35 (i) to (xiii) above. The meaning conveyed at
page 5 of the second article also suggests, at minimum, incompetence and at worst,
dishonesty. I refer in particular to the following passages:
“Industry analysts described as ‘unusual’ the several large
transactions to move the one airplane which ended up as a direct
lease from CAAL to Tobago Express.
The No. 2 company also turned up in the records of the companies’
registrar as a 55 percent stake holder in Katerserv, now occupying
Page 31 of 96
the facilities previously owned by a major BWIA subsidiary, ACL
on Golden Grove Road, Piarco.
The incorporators of what was initially a $2 company are piano
technician Lance Smith of 73 Tragarete Road and Ann Furlonge,
a legal secretary at 39 Richmond Street, Port of Spain. The
company was incorporated in September 1998 and has as its
registered address Lp 57 Golden Grove Road…
“…Why would the airline’s catering arm subcontract its entire
facilities to Katerserv? According to Aleong, it’s a cheaper way of
doing business. He admitted that BWIA and the Goddard Group
were major stakeholders in Katerserv but was unclear on the exact
numbers. “I forgot what the percentage is”, he said, declaring,
however, that the subcontracting arrangement was a win-win
situation for everybody. He said ACL effectively acts as a landlord
to Katerserv.
“It gets rent based on the profits of Katerserv, so Katerserv is
making a profit and most of it goes to Allied because Allied owns
the facilities. It is no different from the Airports Authority and our
duty-free shop. Katerserv doesn’t end up with much profit, he said,
adding, “I’ll put it this way. Allied gets the bulk because it charges
rent on its facility. It is more lucrative that way and they take the
risk. It is exactly like a franchise.”
Aleong explained the transaction this way. “You need to have the
ability to run the money back through. If you don’t do that,
somebody is going to end up with most of the money.”
But it is this BWIA’s practice of sharing money-spinning
opportunities with private individuals that is worrying observers,
who fear that some people are getting rich off the financially
Page 32 of 96
stricken public-listed company which has once more returned to
Government for a taxpayers’ bailout.
Insiders questioned the loss of another BWIA corporate
opportunity to the 51 percent privately-owned Tobago Express
which staked its claim on the lucrative domestic airbridge in June,
2001.
BWIA gave up its monopoly on the airbridge after sustaining a
reported five million Trinidad and Tobago dollars (TT
$5,000,000.00) losing five months following the demise of Leslie
Lucky-Samaroo’s Air Caribbean venture. Aleong blamed onerous
labour contracts, expensive reservation systems and delays in and
out of Caracas and Barbados for the financial hit.
Tobago Express was built-up using BWIA resources; everything
from routes and aircraft to pilot and cabin training, maintenance
and ground handling. Aleong, however, is adamant that the 51
percent stakeholders got no free ride…”
Aleong insists that Tobago Express does not get a free ride from
BWIA. “Tob Ex pays for everything,” he said. But insiders
question whether BWIA is getting value for its money and whether
the start-up cost for what essentially is a paper company was not
closer to US $5 than to US $7 million.
BWIA bought one airplane and paid the deposit on another Dash-8
for Tobago Express. According to documents seen by this
newspaper, the airline also paid fuel bills to National Petroleum to
keep the start-up in the clear. It also paid close to US four million
dollars (US $4,000,000.00) more on its three Dash-8s. And while
Aleong maintained that BWIA negotiated deep discounts on all
Page 33 of 96
four planes, there is no dispute that Tobago Express got very lucky
on its Dash-8 acquisition.”
[40] The enquiry, sceptically posed, as to why the airline would subcontract its entire
facilities to Katerserv, was to be seen in the context of the statement, to which I have
referred at paragraph [38], about “deals for a share of the catering business”, with the
implication being that the purchase by the Goddard Catering Company of one million
United States dollars worth of shares from the failed IPO, resulted in that company
being given 45% of ACL’s shares as a quid pro quo (Ms Marajh was unable to verify
any such quid pro quo during cross-examination).
[41] The writer’s concern for the airline’s practice of sharing “money spinning
opportunities with private individuals” and for some people “getting rich” off the
airline (which was financially stricken) suggests “behind the scenes” arrangements to
sell off profitable subsidiaries for the claimant’s and other persons’ secret benefit. The
questioning of “the loss of another corporate opportunity” to Tobago Express and the
untruthful allegation that it was “a paper company” built up using BWIA’s resources,
strengthens both perceptions. Indeed, both statements were wrong. Ms Marajh was
forced in cross-examination to admit that she could produce no evidence that the
catering business was “lucrative” or “money spinning” as well as to admit that with
an investment of seven hundred thousand United States dollars (US $700,000.00) by
shareholders into Tobago Express, it could hardly be described as a “paper” company.
She also could not verify that the Tobago airbridge was profitable.
The third Article – “Aleong’s Pay Deal” – “The US $30,000.00 a month executive
supply contract” – 13th April, 2003.
[42] The article states as follows -
“BWIA boss, Conrad Aleong, maintains that his pay is nobody’s
business. But, in an airline that is tottering on the edge, with a
failed initial public offering (IPO), massive lay-offs and no cash in
hand, the privately negotiated executive supply contract of CA
Page 34 of 96
International has become a major bone of contention among
shareholders, employees and BWIA’s four unions.
Aleong has thumbed his nose at critics, saying the Securities
Exchange Commission was satisfied that a “material” disclosure
relating to his stock options at US twenty-five cents a share was
included in the December 2000 IPO, which went to the market at US
$1.25 per share.
He has also said that all material provisions in his secretly
negotiated contact have been disclosed to the SEC. But, nowhere in
the document is the value of the executive supply contract to BWIA
stated. The SEC has refused to discuss the matter…”
“And while Aleong maintains that his remuneration package is
substantially less than what his predecessors made, the Sunday
Express understands that it is about thirty thousand United States
dollars (US $30,000.00) a month, plus allowances…”
Again, the article being part of a series must be read in the context of what went before
it. This article appears on page 5, the same page as the second half of the second
article. It is accompanied by a picture of the claimant and another gentleman who was
then the general manager of Tobago Express. The third article and the claimant’s
picture are juxtaposed against the second half of the second article. The spread sheet
of open pages (i.e. pages 4 & 5) shows the second and third articles and the claimant’s
picture sharing the spotlight along with the chairman and yet another gentleman named
in the second article. The effect of the juxtaposition of the 2nd and 3rd articles,
however, was to leave no doubt as to the connection of the claimant to the second
article. The third article is written in the same style, with the claimant’s opinions
being depicted as shrill, defensive and defiant. His opinions are once again
undermined by qualifying statements of what others tell the reporter, such as to
devalue their effect.
Page 35 of 96
[43] The article begins by quoting the claimant as saying that his pay is “nobody’s
business” but is then put in the context of a failed IPO by BWIA, “massive lay-offs”
and no cash in hand by the company. The claimant is described as “thumbing his nose
at his critics”. The article is to be taken in the context of the first article and the
allegation of greed raised in the first paragraph thereof. The contention that “his pay
is nobody’s business” is not developed but is left hanging and given its juxtaposition
against the second article, inextricably links the second article to the third. Moreover,
the quote (his denial of knowledge of WIAAL No. 2) appearing under the claimant’s
photograph connects the photograph and the third article to the second article which
refers to his denial of knowledge of WIAAL No. 2.
[44] The juxtaposition of the third article (which addresses his remuneration) against the
second, reinforces the allegations of greed made in the second and first articles. These
two reports are not successive articles made in separate publications on different dates
but are in effect, composite articles sharing the same day of publication and the same
page.
The fourth article – “BWIA $m bailout, but…” -20th April, 2003
[45] In my judgment, this article would otherwise have been impeccable but the fact that, in
its second half, it repeats the libels set out in the previous article and that in its final
sentence, it expressly links the payment of a bonus to the claimant, to BWIA’s making
of a profit, such as to suggest that BWIA’s accounts were manipulated by the claimant
for that purpose. The relevant parts of the article are as follows -
“…Insiders contend that BWee Express was used as the launching
pad to set up the majority held, privately-owned Tobago Express.
In last week’s Sunday Express, this newspaper reported a series of
complex transactions which saw one aircraft, 9Y-W1Z, undergo
several ownership changes between the point of purchase and the
time of delivery to the final beneficiary, Tobago Express.
Page 36 of 96
BWIA, in a public relations assault on the Sunday Express, has
published ads, declaring that “all transactions involving the three
Dash-8s for BWIA and the Dash-8 for the Tobago Express, as well
as related Cayman companies are property corporate transactions
and have been duly approved by the Board”.
The airline maintains that “these have been fully disclosed in the
company’s 2001 Statements”.
This newspaper, however, could find no reference to a West Indian
Airways Aircraft (No. 2) Ltd. BWIA also sought to shoot down a
Sunday Express report about the airline’s three years of historic
profits. A review of the airline’s financials, however, shows that
BWIA benefitted from an US eight million dollar (US $8m)
windfall in fuel prices in 1998, the year it declared its first profit of
US nine million dollars (US $9m), Favourable fuel prices
accounted for a significant percentage of the 1998 profit.
The operating profit for 1998 was almost eleven million dollars
($11m) but, by the next year, this figure dropped to US two million
dollars (US $2m) even though revenues increased by US fourteen
million dollars (US $14m). In fact, the airline declared a profit of
US three point six million dollars (US $3.6m) in 1999 but US four
million dollars (US $4m) was derived from the sale of an
investment.
“Operationally, therefore, BWIA made a loss in 1999”, according
to one insider. The operating profit in 2000 fell further to US five
hundred and seventy-one thousand dollars (US $571,000.00) and
although the airline declared a profit of US one point one million
dollars (US $1.1m), almost US five million dollars (US $5m) was
derived from the sale of fixed assets and investments.
Page 37 of 96
The management team led by Conrad Aleong increased revenues
from US two hundred and twenty-five million dollars (US $225m)
in 1998 to US two hundred and seventy million dollars (US $270m)
in 2001, an increase of US forty-five million dollars (US $45m).
And, according to the accounts, signed by Price Waterhouse
Coopers, it generated net profits of US thirteen million dollars (US
$13m) during that period. However, over ten million dollars
($10m) of the profit declared was derived from extra-ordinary, non-
operating items involving the sale and refinancing of aircraft and
investments.
In its third consecutive year of reported profits, BWIA terminated a
four-year lease with Finova Capital on two L1011 aircrafts. It
negotiated a new sale and leaseback agreement with Cabot
Aviation. A year later, in January 2001, in an agreement brokered
with another company, Fleet Capital Leasing, BWIA would
terminate the agreement with Cabot.
Aleong’s executive supply contract is performance-based. The
company makes a profit, he gets a bonus.”
[46] The article has very little reference to the claimant himself and there are more
references to BWIA and to its board of directors. There are however, five significant
factors which collectively render it libellous:
(i) There is a photograph of the claimant juxtaposed between the
columns of the article. The claimant’s photograph, because of
its juxtaposition, dominates the article even though there is a
much larger picture above it.
(ii) The article returns to the themes set out in the first article. It
repeats the earlier allegations about a series of complex
transactions involving the ownership changes of one aircraft
Page 38 of 96
9Y-W1Z, and while it refers to denials by the Board published
in a newspaper advertisement which contends that the
transactions were above board, it immediately reverts to the
style of undermining that denial but recalling that, as published
in its first article, the report could find no reference to a West
Indian Airways Aircraft No. 2 Ltd.
(iii) Having also referred, somewhat dismissively, to the Board’s
attempts to “shoot down a Sunday Express” report raising
“accounting questions about the airlines three years of historic
profits”, it again questions the soundness of that profit, albeit
referring to BWIA as opposed to the claimant. The claimant’s
photograph however, is sufficient to link him to the
publication.
(iv) The article for the first time in the series, explicitly suggests
that the BWee Express was used as a launching pad to set up
the majority held, privately owned Tobago Express.
(v) Most significant of all, the article ends with a specific reference
to the claimant and the executive supply contract (and the fact
that it is performance based) with the statement that “the
company makes a profit, he, Aleong gets a bonus”.
That final sentence painted the claimant as having manipulated the accounts in order to
obtain a bonus for himself.
The fifth Article – “BWIA Board backs Chief Executive Officer” – 27th April, 2003
[47] The relevant part of the article states as follows:
“…From all accounts, Aleong continues to have trouble
convincing Government of his turnaround plan despite his high
standing with the BWIA board as a “tough shrewd strategist”.
Page 39 of 96
Troubling questions remain about his executive supply contract
and its bonus link to profits, the sale and refinancing of aircraft
and other investments; the expensive start-up and sudden demise of
BWIA’s regional commuter service later last year –BWee Express
which left BWIA with two idle Dash-8-300s and the virtual
giveaway of revenue streams in catering and the airbridge service
to private investors.
Aleong denies the charges and insists he is doing all he can to turn
the airline around. But as reported in this series, a review of the
accounts shows that a significant chunk of the Aleong declared
profits originated from extra-ordinary, non-operating items
involving the sale of assets.
The Aleong management also benefitted from a US five million
United States dollar (US $5,000,000.00) Government credit placed
in the 2001 accounts, an expense that was tacked on to the 1995
accounts and year one of the Ed Acker privatization. The Acker
group recorded a five million two hundred thousand United States
dollar (US $5,200,000.00) loss in 1995 but industry analysts
question whether BWIA actually made a loss, if that amount was
properly applied in the 1995 accounts.
Page 47 of the 2001 accounts (item 22), points to a nine million,
nine hundred thousand United States dollar (US $9,900,000.00)
credit from Government, relating in part, to “settlement of the 1995
investment agreement and related issues.” Insiders report that
expenses were overstated in the 1995 accounts as a direct result of
pre-privatization bills owned to suppliers being placed in the 1995
accounts.
Tough for the long gone Acker, but a lucky reconciliation of
accounts for Aleong, who said he was on his way to reporting a
Page 40 of 96
projected nine million, two hundred thousand United States dollar
(US $9,200,000.00) profit in 2001 when 9/11 hit BWIA’s bottom
line. He still boasted of a modest loss of six hundred and ninety-
four thousand United States dollars (US $694,000.00).
The article repeats the earlier libel that “troubling questions remain about his
executive supply contract and its bonus-link to profits, the sale and refinancing of
aircraft… and the virtual giveaway of revenue streams in catering and airbridge
service to private investors.” To reinforce the allegation that the profits were not
genuine, Ms Marajh revives and repeats the allegation that “a large chunk of the
profits originated from extra-ordinary non-operating items involving the sale of
assets”, and again speaks of the Tobago Express venture, this time describing it as
raising “old suspicions”.
[48] In my judgment, the article repeated the previous libel in the following way:
(i) the claimant was greedy or was motivated by greed;
(ii) the claimant had engaged in or was engaging in secret or shady
suspicious deals;
(iii) the claimant was incompetent;
(iv) the claimant engaged in suspicious clandestine business
dealings or practices;
(v) the claimant was involved in or engaged in questionable
accounting practices.
(vi) the claimant had manipulated or participated in the
manipulation of the accounts of BWIA, a publicly listed
company in a manner calculated to mislead.
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(vii) the claimant manipulated or participated in the manipulation of
the accounts of BWIA, a publicly listed company for his own
financial gain.
The sixth Article – “BWIA Board to meet Government on Tuesday” – page 3 –4th
May, 2003.
[49] The article in question is the shortest of all the articles and the words complained of,
on the face of it, appear quite innocuous. It states:
“Despite its protestation that it had not requested a detailed written
outline of Government’s cash for concessions offer, the BWIA
board of directors is yet to undertake the State’s request for a
review of the Conrad Aleong management team.
The Government was quite clear, however at a post Cabinet news
conference on April 17, that it would not release a cent of a
promised US bailout for cash-strapped BWIA unless and until a
management review of the Aleong team is undertaken, among
other things.
See story on page 4 and letter on page 13.”
But the article at its conclusion invites the reader to page 4 of the same publication in
which the eighth article is written. The contents of that report are therefore to be taken
in the context of the eighth article and the entire series of articles. (See Gatley on
Libel & Slander (supra) citing Thorton v Stephen and Bolton v O’Brien (supra).
Having regard to all that has been written in the previous articles and in the context of
the eighth article which repeats the libels, the fact that the government “will not
release a cent of [the] promised bailout for cash-strapped BWIA unless and until a
management review of the Aleong team is undertaken”, points to the competence and
character of the claimant. It is inferential that the claimant was incompetent and unfit
to hold the office, that his performance should be reviewed and he should be dismissed
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and that the government would not act until his performance was reviewed and he was
fired.
The seventh Article – “Fat Cows can’t fly” – BWIA – from Acker to Aleong” –
page 4 – 4th May, 2003.
[50] The article was largely a history of the troubled management of BWIA from February
1995 under one “Ed Acker to May 2003, under the claimant” and is mostly
unobjectionable but for the last two columns to which the claimant took objection. It
refers to Mr. Gilles Filiatreault who was one in a chain of fired CEOs of the BWIA and
the claimant’s immediate predecessor. The words complained of begin in the third
paragraph of the passage next quoted below but in order to get the sense of the libel, I
shall begin two paragraphs earlier:
“Then finance Minister Brian Kuei Tung, seemed determined to
slug it out, upset over the shabby treatment meted out to
Government by the private sector-run board. Kuei Tung
threatened to send Filiatreault packing back to Canada over the
airline’s failure to obtain the required work permit.
He would face union resistance, frequent breakdown of old
aircraft, runaway costs and huge double digit US million dollar
losses. Filiatreault sought unsuccessfully to extricate BWIA from
Acker signed contracts forcing BWIA to take delivery of a second
A3211. But the tough negotiating ILFC forced BWIA to take
delivery of both short haul airplanes which Filiatreault
subsequently subleased.
‘Filiatreault’s days were numbered, however, when Lawrence
Duprey replaced Ken Gordon as BWIA’s Chairman. Duprey
brought in Conrad Aleong nearing the end of 1997, initially to
undertake an audit. By early 1998, he was in the CEO’s chair. It
was a good year for BWIA, maintenance costs were down, the
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A321s were gone, there was no more ferrying of engines to and
from London and fuel prices had hit the floor.
It was a better year for Aleong, who claimed credit for posting the
first ever profit in the history of BWIA. Under Aleong’s tenure,
BWIA would post three years of successive profits, totalling some
US thirteen million dollars (US $13m) but almost all of it, US ten
million dollars (US $10m) exactly, derived from extraordinary,
non-operating items involving the sale and refinancing of L1011
aircraft and investments like BWIA’s SITA shares.
Questions remain about several transactions, among them the sale
of a forty-five per cent stake of Allied Caterers, to the Goddard
Group, the Dash-8 acquisitions, Tobago Express and Katerserv.
Aleong has blamed a lot of the airline’s current troubles on the
error attacks of 9/11, the Iraq war, global economic slowdown,
SARS, downgrade to Category 2, predatory pricing by charge
operators, labour disputes and more recently, bad Press:’
The airline has weathered many storms since its wartime start-up
in 1940. It’s gone from world class to world class disaster. Now
only time will tell if BWIA will come out of this one intact.”
The words complained of, by themselves, were not libellous, even though they again
question the genuine nature of the profits and the transactions involving the sale of
Allied Caterers and the Dash-8 acquisitions. But taken in the context of the preceding
articles in which, inter alia, the profits were said to have been wrought by
manipulation of the accounts, the alleged sharing of money spinning opportunities with
private individuals, secret deals etc, it in effect repeats the previous libels.
[51] In my judgment, the seven articles published on 6th, 13th, 20th, 27th April, and 4th May,
were defamatory of Mr. Aleong. They would have lowered the claimant in the
estimation of right thinking members of society generally or in the estimation of
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reasonable people generally. The reasonable reader having read the entire series
would have held the claimant in considerably lower estimation than before the
publication of the articles. The overall impression of the claimant conveyed by
articles to the reasonable reader, was that he was a dishonest and devious man who
had manipulated the airline’s accounts to declare profits which were in fact fictitious,
so as to get an undeserved bonus, who sold the valuable assets of BWIA for his and
other persons’ private gain, who engaged in deals, smear tactics and personal
vendettas. To these articles can be ascribed several of the meanings pleaded in the
statement of claim to wit-
(i) that the claimant was greedy or was motivated by greed;
(ii) the claimant engaged or had engaged in personal vendettas;
(iii) the claimant had engaged in smear tactics;
(iv) the claimant engaged or had engaged in secret suspicious deals
or questionable and clandestine business dealings or practices;
(v) the claimant was incompetent and not fit to be employed as
CEO of BWIA;
(vi) the claimant was, or had been involved or engaged in
suspicious and questionable accounting practices;
(vii) the claimant had manipulated or participated in the
manipulation of the accounts of BWIA, a publicly listed
company, for his own financial gain.
(viii) the claimant was guilty of deception;
(ix) the claimant had compromised, or participated in
compromising, or sacrificing the interests of BWIA and
shareholders of BWIA to private individuals;
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(x) the claimant had given away, or conspired with others to give
away, assets of BWIA for the benefit of himself or private
individuals;
(xi) the claimant was getting rich at the expense of BWIA and its
shareholders;
(xii) the claimant did not act or had not acted in the interest of
BWIA or its shareholders or employees but rather in his own
self-interest;
(xiii) that his performance as president and CEO of BWIA should be
reviewed and his contract terminated.
The editorial – fair comment
[52] It is convenient for me to deal now with the editorial and the defence of fair comment
before addressing the Reynold’s privilege defence. Gatley on Libel and Slander (11th
edn, Sweet & Maxwell 2008) para 12.2 states that in order to succeed in a defence of
fair comment, the defendant must show that: (1) the words are comment and not a
statement of fact; (2) there is a basis of fact for the comment, contained or referred to
in the matter complained of and (3), that the comment is on a matter of public interest,
one which has expressly or implicitly been put before the public for judgment or is
otherwise a matter with which the public has a legitimate concern. The claimant will
defeat the plea however, if he can show that the comment was actuated by malice,
which for this purpose means that the defendant was not expressing his genuine
opinion.
[53] In my judgment this article written by Mr. Cuffie constituted fair comment on a matter
of public interest. As I have set out at paragraph 122 below, the operations of BWIA
and the compensation package of its CEO and other senior managers were matters of
public interest, given BWIA’s consistent dependence on subventions from
Government and ultimately, the taxpayer, to continue its operations.
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[54] The editorial did not impugn the claimant’s character. Rather, its comments were
founded on a matter of high principle – accountability; that is to say, that the claimant,
as leader of the BWIA management team, must accept responsibility for its financial
difficulties, irrespective of the successes he and his team may have achieved in making
the airline leaner and more efficient and despite the fact that financial difficulties were
endemic to the airline industry.
[55] The comments was well balanced giving credit to the claimant for his team’s
successes but pointing out the Government’s loss of faith in the management’s ability
to lead the airline. The article cast no aspersions on the claimant’s character or
competence.
[56] I accepted Mr. Cuffie’s denial of any knowledge of the termination of Mr. Reynald’s
contract by the claimant and of any malicious intent in writing the editorial. The
fourth article does in fact refer readers to the editorial, and while this would have
brought the editorial within the context of the entire series, the editorial did not
question the basis of the profitability of BWIA nor did Mr. Cuffie adopt any of Ms
Marajh’s allegations. The following paragraphs of the editorial speak for themselves–
“To be sure the present management team may be taking comfort not
just in the fact that the airline first experienced profitability under the
stewardship of Mr. Aleong but that BWIA is now a leaner and trimmer
organisation than at any other time in its history. The present financial
crisis is not unique to BWIA but is also being faced by the world’s
largest airline - American Airlines and major international carriers
across the world following the events of September 11, 2001 and more
recently, the terrorism fears arising from Gulf War II.
In fact the BWIA managers have consistently argued that the airline’s
on-going problems are the result of the vicissitudes of the airline
industry rather than any weakness in its senior management team…
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One of the problems being faced by BWIA is that no one is willing to
take responsibility for the predicament in which the airline finds itself,
not the workers, the unions or the management. Even the private
sector shareholders have remained mum as the airline continued to
freefall. While Mr. Aleong who originally returned home following
what was said to be bright career prospects in Canada, may consider
the calls unduly harsh, it is clear that rightly or wrongly the major
stakeholders have lost confidence in his management team.
Someone needs to accept responsibility for the problem and as leader,
Mr. Aleong must consider himself extremely lucky to be still at the
helm. Government has also indicated its intention to send a consultant
into the airline. One of his objectives must be to find a parachute for
Mr. Aleong, if he continues to refuse to jump.”
[57] Despite the final cryptic comment, I do not consider that, by any stretch of the
imagination, this can be said to be libellous. In my judgment, even though this
editorial comment was part of the series of articles and, even though Mr. Cuffie spoke
of having the previous articles in mind at the time of writing, his comments were
honest expressions of his own opinion and met the legal requirements of fair comment.
The Reynolds Privilege defence
[58] I turn then to whether the Reynolds privilege defence and the legal principles which
arise. The decision of the House of Lords in Reynolds –v- Times Newspapers Ltd
(supra) holds that the defence of qualified privilege was available where there was a
duty in the publisher to publish the material to the intended recipients and where they
(the intended recipients) had an interest in receiving it, taking into account all the
circumstances of the publication, including the nature, status and source of the
material. Lord Nicholls in his speech at page 1017, noted that “the essence of this
defence lies in the law’s recognition of the need, in the public interest, for a particular
recipient to receive frank and uninhibited communication of particular information
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from a particular source”. He added that “the protection afforded to the maker of the
statement is the means by which the law seeks to achieve that end” and “the court has
to assess whether, in the public interest, the publication should be protected in the
absence of malice”.
[59] On the other side of the coin however, he noted that “once besmirched by an
unfounded allegation in a national newspaper, a reputation can be damaged for
ever…” and “when this happens, society as well as the individual is the loser …
Protection of reputation is conducive to the public good. It is in the public interest
that the reputation of public figures should not be debased falsely”. (at page 1023 E to
G). The common law doctrine of qualified privilege thus seeks to strike a balance
between the need of the recipient to receive frank and uninhibited communication and
protection of the reputation of the individual. Lord Nicholls at page 1024 H, noted that
“the common law does not seek to set a higher standard than that of responsible
journalism”, adding at page 1027 B, that “the elasticity of the common law principle
enables interference with freedom of speech to be confined to what is necessary in the
circumstances of the case” and “enables the court to give appropriate weight, in
today’s conditions, to the importance of freedom of expression by the media on all
matters of public concern”.
[60] He then set out the following “illustrations”, as matters to be taken into account in
deciding whether the journalist in question had behaved responsibly in putting together
the article:
1. The seriousness of the allegation: The more serious the
charge, the more the public is misinformed and the individual
harmed, if the allegation is not true.
2. The nature of the information, and the extent to which the
subject matter is a matter of public concern.
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3. The source of the information. Some informants have no
direct knowledge of the events. Some have their own axes to
grind, or are being paid for their stories.
4. The steps taken to verify the information.
5. The status of the information. The allegation may have
already been the subject of an investigation which commands
respect.
6. The urgency of the matter. News is often a perishable
commodity.
7. Whether comment was sought from the plaintiff. He may
have information others do not possess to have not disclosed.
An approach to the plaintiff will not always be necessary.
8. Whether the article contained the gist of the plaintiff’s side of
the story.
9. The tone of the article. A newspaper can raise queries or call
for an investigation. It need not adopt allegations as
statements of fact.
10. The circumstances of the publication, including the timing.
[61] He went on to say as follows:
“The weight to be given to these and any other relevant factors will
vary from case to case. Any disputes of primary fact will be a matter
for the jury, if there is one. The decision on whether, having regard
to the admitted or proved facts, the publication was subject to
qualified privilege is a matter for the judge. This is the established
practice and seems sound. A balancing operation is better carried
out by a judge in a reasoned judgment than by a jury. Over time, a
valuable corpus of case law will be built up.
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In general, a newspaper’s unwillingness to disclose the identity of its
sources should not weigh against it. Further, it should always be
remembered that journalists act without the benefit of the clear light
of hindsight. Matters which are obvious in retrospect may have been
far from clear in the heat of the moment. Above all, the court
should have particular regard to the importance of freedom of
expression. The press discharges vital functions as a bloodhound as
well as a watchdog. The court should be slow to conclude that a
publication was not in the public interest and, therefore, the public
had no right to know, especially when the information is in the field
of political discussion. Any lingering doubts should be resolved in
favour of publication.”
[62] The questions which thus arise are as follows: Were the articles in the public interest
and, if yes, were they the products of responsible journalism which attracted the
defence of qualified privilege? There arose certain issues of fact which determined
whether Ms Marajh, as the writer of the articles, acted responsibly, as well as issues of
fact which went to damages, including exemplary damages. It is therefore necessary
to examine the evidence.
The evidence`
[63] Six persons, including the claimant, deposed to witness statements on the claimant’s
behalf. The other five persons were, Clint Williams, Allan Clovis, Michael Dolsingh,
Esther Maharaj and Julia Maharaj. None of the evidence of the five supporting
witnesses was challenged. Only the claimant was cross-examined by Mr. FitzPatrick.
The second to fourth defendants all deposed to witness statements, along with Maxie
Cuffie, writer of the editorial. All four deponents were cross-examined by Mr.
Martineau.
Evidence on behalf of the claimant
[64] The documentary evidence was quite bulky. It consisted of agreed bundles of
documents filed by both sides which were admitted into evidence by consent, as well
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as seven exhibits admitted into evidence during the cross-examination of the claimant
(four exhibits) and Ms Marajh (three exhibits).
[65] The claimant’s documentary evidence consisted of two bundles, the first comprising
ninety-seven documents including the articles, the second, a supplemental bundle,
comprising nineteen documents including BWIA’s annual reports for 2000, 2001 and
2002. The defendants’ bundle of documents comprised a total of seventy-four
documents including the prospectus issued in 2000. Additionally, the newspaper
articles were helpfully reproduced in a full tabloid size bundle. The volume of the
documentary evidence however made long and tedious reading.
Conrad Aleong
[66] The claimant’s witness statement supported the allegations set out in the statement of
claim. It is not necessary that I set out all that he said. The claimant deposed that
since September 2003, he was the chairman of Albrosco Holdings Limited, a family
owned company. Prior thereto (from 1970 to 1974), he had been articled to and
practiced as a chartered accountant at Price Waterhouse & Company in Winnipeg,
Manitoba, Canada. He then held a series of managerial positions with Air Canada
over the period 1974 to 1993. From 1993 to 1994, he was appointed the president and
CEO of BWIA International on secondment from Air Canada, to lead the privatization
of BWIA, which was accomplished in 1995. From 1995 to 1997, he was the president
of ALM Antillean Airlines until he was approached to take over BWIA to
“turnaround this failing airline”.
[67] During his first stint at BWIA it was wholly owned by the government of Trinidad and
Tobago. By 1995, it had been privatized and was publicly listed in December 2000.
Even after privatization, the Minister of Finance was the largest shareholder. Between
1995 and 1997, BWIA had lost fifty million United States dollars (US
$50,000,000.00). Following his return as president, the airline produced profits from
1998 until the terrorist attacks on the World Trade Centre in New York on September
11, 2001. According to the claimant, “after that fateful day, the global airline
industry suffered record losses”.
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[68] The claimant alleged that he was tricked by Ms Marajh into giving an interview. He
said:
“On March 13, 2003, at 10.00 am, Camini Marajh called me on my
cell and she asked for an interview on certain allegations that were
being made and as a follow-up to an earlier Express newspaper
story on the shareholders’ lawsuit, which was reported by Orion
Ganase, another Express reporter – HCA 4030 of 2002 Romero –v-
BWIA (P1 D55(vi)) (“the shareholders’ lawsuit”). I told her that
this was now history and I was vindicated since these supposed
shareholders had dropped the case on February 17, 2003. Ms
Marajh insisted that her paper wanted to complete the story and to
get my side of the allegations. She asked me blandly, ‘were you not
escorted out of Curacao? Did you not face 5 strikes in 6 months?’
I denied both allegations. Then she said, ‘this is the opportunity to
clear your name’. At the end of that call, I tentatively agreed to
meet with her. Subsequently, I had second thoughts and wrote to
Craig Reynald, the publisher of the first defendant, a letter dated
13th March, 2003 (P1 D55 (iii) and Def. B30) stating that I should
not be interviewed and I explained why, especially having regard to
the fictitious nature of the allegations in the dropped shareholders’
lawsuit.
A week later, Camini Marajh phoned me again and told me that
she was aware that Craig Reynald, the publisher of the Sunday
Express, had received a letter from me but that the article for
which she wanted to interview me was going to be one about the
state of the airline industry and how BWIA was faring and why it
was having problems. She said that the allegations in the now
discontinued shareholders’ lawsuit were not going to be the
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purpose of the article. In fact, she stated that everyone knew that
Ved Seereeram, who had given advice/evidence in support of that
shareholders’ lawsuit, was a bit of a questionable character. On
that basis, I agreed to meet with her. Had I known that she would
make these allegations the central theme of the articles, I would not
have dignified them with my comments and remarks. Ms Marajh
tricked me into giving her the interview, by giving me the
impression that the articles which she was going to publish would
deal with one thing – BWIA and the state of the airline industry –
when in fact, she intended to develop further the allegations raised
in the Orion Ganase articles –knowing full well, as my letter to the
publisher showed, that I would not have consented to the interview
if the article was to be based on those allegations.
As to the interview itself, Mr. Aleong said that it took place on 2nd April, 2003 and
lasted over four hours. They spent a considerable time on the financial losses caused
by the destruction of the twin towers in New York and the resulting drop in
commercial passenger travel. They also discussed the airline’s schedule which the
government ordered him to implement, including the operation of unprofitable routes
to Cuba, Costa Rica and the Dominican Republic; the interim draft of the business
plan being prepared for obtaining the government’s financial assistance, in which were
highlighted, certain governmental actions which caused financial damage to BWIA in
1999, 2000 and 2001.
[69] He provided Ms Marajh with a draft submission, developed for the government, which
sought to persuade the government to provide further funding for BWIA and which
contained a lot of factual data. That draft explained in great detail the reasons for
BWIA’s current financial crisis and according to the claimant, “provided material for
anyone sincerely wanting to write about the airline industry and BWIA’s situation”.
He said that “after a lengthy series of discussions and questions on matters which she
stated were her reasons for the interview, she turned to the same question on which I
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had in the previous month refused to be interviewed. At that point, I was in the
situation where I felt that had I not dealt with them it would appear as though I had
something to hide”.
[70] The claimant said that the articles were presented as an exposé and in dramatic
fashion. Despite his discussions and the information he provided to Ms Marajh, the
published articles avoided anything that showed him in good light. He complained
about a number of inaccuracies, to which I shall come, one of which was Ms Marajh’s
reference in her first article to him owning two companies, AWIL and CA
International. Indeed, during the interview, the claimant had been at pains to point out
that CA International was a brand name and a consulting division of AWIL. He said
that as a result of the articles, his position at BWIA became untenable and he had no
choice but to resign because he had lost the moral authority to continue to lead BWIA.
Clint Williams
[71] Mr. William’s evidence as to the conduct of the interview supported the claimant’s.
He confirmed that the claimant told Ms Marajh that CA International was the brand
name under which AWIL had obtained the executive supply contract. According to
Mr. Williams, Ms Marajh “appeared not to understand a ‘trading as’ relationship and
she was trying to suggest that Mr. Aleong’s answer was that they had nothing to do
with each other but were different entities when this was not what he was saying”.
Mr. Williams added that the claimant told her that the monies paid to CA International
under the executive contract were monies used to pay a number of executives. As to
the impact of the articles, Mr. Williams said:
“When I read the series of articles written by Ms Marajh on BWIA,
I thought that this is not the same interview that I was present at.
Most things that Ms Marajh raised in the articles were raised in the
interview and answered by Mr. Aleong in depth. Ms Marajh did
not ask any follow-up or clarifying questions after Mr. Aleong’s
answers and I came away with the impression that she understood
everything that was explained to her.
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The articles suggest that Conrad Aleong was running the airline
like a parlour. It was made clear to Ms Marajh in the interview
that the Board had to approve any new measures, that the Board
commissioned the annual audit which was signed off first by the
auditors and then approved by the Board. There were checks and
balances in place. There was nothing that Mr. Aleong could do on
his own.
“…The shady tone of the articles does not reflect the openness of
the interview or the detail of the answers. There are hanging
questions in the articles that were not present in the interview, such
as whether Tobago Express was getting a ‘free ride’ at the expense
of BWIA and if the purchase of B737 aircraft was a wise choice.
There were no unanswered questions in the interview.
The articles seemed to focus on the issues raised in the high court
action that was withdrawn and not on the issues raised in the
interview.
In the aftermath of the series of articles on BWIA by Ms Marajh, I
personally had to deflect comments like ‘how you could have lied for
that man so, dey couldn’t pay me to lie so’ from complete strangers
who engaged me in conversations after leaving BWIA. By
extension, I was portrayed as a liar who ‘covered’ for Mr. Aleong.
These comments were made in relation to the fact that I was
Director of Corporate Communications for BWIA when Mr. Aleong
was the Chief Executive Officer and so I was responsible for
corporate releases. The comments were quite a few; for example, on
one occasion when I was having a car tyre fixed in Central Trinidad,
a man approached me and said he recognised me from television
and while he admired how I handled myself on TV, he could not
understand how a fellow who looked as honest as I did ‘could lie for
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a man like Aleong’. Even after leaving BWIA, friends and
acquaintances often commented to me that I was lucky to leave
BWIA as I no longer had to cover up for Aleong.”
Allan Clovis
[72] Allan Clovis, in his witness statement, stated in response to the article of 13th April,
2003 (“BWIA fighting to stay in the air”) that the shareholders who owned fifty-one
percent of Tobago Express ”got no free ride”. He said that when Air Caribbean
closed, Tobago Express was given approval by government to fly the route, “it was
not a BWIA route that was handed over as part of any deal”. The contract with
BWIA included limited route sharing to select Caribbean destinations. He said of the
Tobago Express start up:
“BWIA also used its leverage to facilitate Tobago Express’
acquisition of additional Dash-8 aircraft. The aircraft was
purchased through an arrangement with BWIA and its Cayman
Island registered subsidiaries. To my knowledge, the arrangement
was known to the Government as is the usual established practice
in the airline industry.
In addition, Tobago Express was required to sub-lease the three
Dash-8 aircraft transferred from BWIA. This was very costly and
further, after we paid the leases on these Dash-8 which were
handed over even where they were not as yet able to fly the route,
we had to pay for maintenance to make them serviceable.
With regard to the purchases of the other aircraft by Tobago
Express, these were by Tobago Express, not BWIA. The first was
through a Cayman Island registered company and the other
through a lease/purchase arrangement with a Swiss finance house.
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Michael Dolsingh
[73] In his witness statement, Mr. Dolsingh stated that he first met the claimant in 1993,
when the claimant joined BWIA. Mr. Dolsingh’s company (CPA/Irish Aerospace)
was one of BWIA’s largest creditors at the time. He had been in the aviation business
since January 1980 with BWIA. He left BWIA in 1989 when he joined Irish
Aerospace.
[74] He got to know the claimant, in his capacity as executive representative of BWIA and
he had a “very good impression of him as an aviation professional who was both well
experienced and deeply knowledgeable about the airline business” and who
“understood the critical parameters and measures of the business”. He added that “in
terms of airline operations, he certainly impressed me”. As to the impact of the
articles, Mr. Dolsingh stated as follows:
“My first reaction to these articles was that they were heavy
indictments on Conrad Aleong’s character, the account of one or
more of the Dash-8 transactions in the article showed that there
was a lack of transparency, or integrity, or something of that sort.
Up to that time, I had considered Camini Marajh, the author, as
having had a good reputation as a good investigative journalist.”
In short, the articles did serve as a red flag to me about Conrad
Aleong. Later I read that one of the pre-conditions for the
Government putting more money into BWee, was a change of
management; to me that meant the departure of Conrad Aleong as
BWee’s CEO. I know that shortly after these articles were
published, Aleong and BWee parted company.”
Neil Gajadar, Esther Maharajh & Julia Maharaj
[75] Neil Gajadhar, Esther Maharajh and Julia Maharaj were all employees of BWIA at the
time of publication of the articles. Mr. Gajadhar and Julia Maharaj both spoke of the
sense of hope and transformation which Mr. Aleong’s arrival brought to the BWIA
employees and the betrayal that was felt when the articles were published.
Page 58 of 96
[76] Mr. Gajadhar, who was then employed at BWIA as the Director of Operations, spoke
of the acquisition of the Dash-8 aircraft. He said the company got the cheapest deal on
the new aircraft through BWIA’s setting up of subsidiary companies in the Cayman
Islands, adding that “it was a method of acquisition that was used by international
companies”. He felt that “the articles written by Ms Marajh were detrimental to Mr.
Aleong, they painted him as a smartman who came in to milk the airline”.
[77] Julia Maharaj said that with the publication of the articles, “everyone was speculating
and the corridor talks took a new dimension. My colleagues were constantly talking
about the contents of the articles”.
[78] Esther Maharaj deposed to reading all the articles as they were published. The article
of 6th April, 2003 gave her the impression that Mr. Aleong was “securing himself from
all angles”. The article “was very convincing and it created serious doubts in my
mind as to the genuine interest in BWIA by Mr. Aleong”. The article of 13th April,
2003, “upset a lot of people, we thought we were being underpaid and overworked
and the executive management was overpaid”. The article of 20th April, 2003, gave
her the impression that the claimant “was a corporate raider who was manipulating
the books for his own gain”.
Evidence on behalf of the defendants
Camini Marajh
[79] Ms Marajh deposed that she had approached the claimant for an interview sometime in
early 2003, concerning certain allegations made in court proceedings brought against
BWIA by a shareholder. The request was made against a backdrop of two requests
made by BWIA to the government for financial assistance to keep the airline in
operation. The government owned forty-nine point nine percent (49.9%) of BWIA’s
shareholding. The requests for financial assistance were made in November 2002 and
March 2003 and had been given widespread coverage in the printed and electronic
media. The claimant initially agreed but subsequently changed his mind, confirming
his reasons in a letter of 13th March, 2003, to Mr. Reynald.
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[80] She renewed her efforts to obtain the interview, through the chairman of the board of
directors and spoke to the claimant by telephone. The claimant was still reticent,
stating that BWIA was already in the spotlight and “he did not wish to add to the
already negative reports” and “did not wish to be interviewed and reported in the
same article as the ‘nastiness’ put out by certain named employees of the airline and
the BWIA”. Ms Marajh said:
“I explained to him that I was doing a series of articles that would
examine all of the issues facing BWIA, including the impact of the
downturn in the aviation industry on BWIA. I made it clear to the
claimant that I could not do a series on BWIA that did not examine
the issues raised by BWIA’s representative unions and by the
shareholders of the company. The claimant repeated that he did
not want to be in the same story as the ‘nastiness’ that was making
the rounds. I told him that I would do my best to facilitate his
request, which was to report his interview as a separate story and
then report the allegations and concerns as a separate story. This
is what in fact happened with the interview appearing on page 4 of
the issue of the Sunday Express newspaper of 6th April, 2003 under
the headline “BWIA facing repossessor” and under the headline
“How BWIA’s flight plan went off course.”
[81] The claimant agreed to be interviewed on 2nd April, 2003 at his office at Sunjet House,
Edward Street, in Port of Spain. At the interview, the Director of Corporate
Communications, Mr. Clint Williams, was present (pursuant to the claimant’s request).
The claimant also asked that she not tape the interview. She objected, telling him that
“it was in both our interests to have an official record of the interview”. He
disagreed, saying that there were some things that he could not go on record as saying
and expressed concern that certain persons (who he named) might have scores to
settle with him and that they might have made every effort to exaggerate things about
him”. She tried to assure him that “it was my responsibility to find those
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exaggerations if they existed” adding that. “in the course of my work as a journalist,
that I did not follow anyone’s agenda and that I would be guided by my own
investigations.”
[82] Ms Marajh stated that prior to the interview with the claimant, she had documentary
and other information from several sources whom she declined to name. These
sources included persons working within BWIA, including serving and former
directors on the board of directors, financial analysts and persons with expertise in the
airline industry. She conducted searches of the various company files maintained at
the companies’ registry, where she obtained information about incorporation,
shareholding, status of the companies and the identity of directors. Before writing the
articles, she checked the information from the sources against the documents that she
had obtained. She sought to verify her sources’ information by seeking corroborative
information from independent sources as well as available public records from
Trinidad and abroad, omitting information she was unable to verify. She said that she
conducted an investigation into the matters reported in the articles and every effort
was made to accurately present the information in a fair and balanced fashion and to
represent the claimant’s side of the story in the articles.
[83] Ms Marajh continued:
“The interview lasted approximately four hours during which the
claimant asked me on occasions to switch off the tape recorder and I
complied. At these times the claimant would have mentioned a person
who he claimed had a grudge against him.
She confirmed that during the course of the interview, the claimant handed to her
certain documents.
(i) Pages 3013 of the Interim Draft submission by BWIA to the
Government;
(ii) BWIA’s Annual Report;
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(iii) Copies of staff communiqués issued by the claimant to BWIA
staff for the period 2001-2002;
(iv) Page 335 of the prospectus issued by BWIA in 2000;
(v) A copy of a letter dated 16thOctober, 2002 from Aegis
Business Solutions Limited relating to the value of the
executive management payroll for the stated years.
She added;
“Shortly after the recording of the interview with the claimant, I
made a verbatim transcript from the tape recording. (This was
admitted into evidence.)
At the end of the interview with the claimant on 2nd April, 2003, as
I and Clint Williams were leaving the claimant’s office, the
claimant indicated to me that he had a private question to ask me.
The claimant then led me back into his office and shut the door.
He asked me if the planned series of articles was part of a ‘Get
Aleong’ campaign. I responded by telling him that was a
ridiculous suggestion and that BWIA was a national icon which
was in serious trouble and engulfed in a swirl of allegations and
that the Sunday Express as a national newspaper had a duty to
inquire and report on the issues.
The claimant responded by complaining that the first defendant
had written negative stories about him and the airline and that a
named person had written and attempted to write damaging articles
about him. The claimant also told me that he had fired the second
defendant from his employment with BWIA. I responded by telling
the claimant that there was no conspiracy to attack him and that
there was no directive from the second defendant or anyone else to
write scathing things about him or the airline. I also told him that
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I knew nothing about his claim of having fired the second
defendant and that his questions in that regard were better directed
to the second defendant himself. I sought to assure the claimant
that a series of articles that I proposed to write would be fair and
balanced and had nothing to do with anyone’s perceived agenda.”
Ms Marajh added that given the approaches for assistance made to government by
BWIA, the latter, a mere four months after the former, “it was important for the public
to be informed of all of the matters concerning the airline and in particular, its
finances and the management of its finances about which various members of the
government had publicly expressed their dissatisfaction”.
[84] I permitted Ms Marajh the opportunity to file a supplemental witness statement. That
statement however, did not so much supplement her initial evidence as answer
statements made by Mr. Aleong in his witness statement and during oral testimony. I
say more about the circumstances at para. [89] below.
Craig Reynald
[85] Mr. Reynald denied that he bore any grudge against the claimant. It was, he said,
wholly untrue that his departure from BWIA was precipitated by any action of the
claimant. Rather, his decision to resign from BWIA was taken prior to the claimant’s
employment with BWIA and the reason had been “primarily that the opportunity for a
new challenge with the CCN group of companies had been offered to me by Mr. Ken
Gordon… and I had to consider the option of continuing at the old BWIA”.
[86] The claimant’s involvement in his departure was limited only to the signing of the
agreement which gave formal effect to the termination of his employment. He
negotiated the terms of his separation package with Mr. Joseph Esau, a member of the
old BWIA board of directors. Mr. Reynald produced extracts of the minutes of the
184th and 186th meetings of the board of directors to support his contentions. He
denied knowledge of any antagonism between Captain Goddard and the claimant and
described as “fanciful to say the least” that any such antagonism (even if true) would
have caused malice directed from him to the claimant.
Page 63 of 96
[87] Mr. Reynald said that neither in his capacity as Chief Executive Officer of the One
Caribbean Media Group nor in his capacity of publisher of the “Daily Express and
Sunday Express”, did he play any role in the writing, printing or publishing of the
series of articles and the editorial. As he put it:
“this is the function of the editor of the respective newspapers and I
did not have any role or function in choosing or directing stories
which are published by the respective newspapers.”
Mr. Reynald added that “he gave no direction as to what was to be written or how the
articles were to be presented by the fourth defendant or the writing of the editorial.
The fourth defendant is an accomplished investigative journalist with some twenty-five
(25) years experience and who has established a reputation for her reporting in
Trinidad and Tobago”.
Sunity Maharaj & Kathleen Maharaj, Maxie Cuffie
[88] Sunity Maharaj stated that she was editor in chief of the Daily Express and Sunday
Express but while she was ultimately responsible for the quality of the editorial
content of the series, including the serial, she had no input in the editing of the articles
because she had resigned as editor in chief and was in the process of handing over to
Kathleen Maharaj who was then acting editor of the Sunday Express. Ms Kathleen
Maharaj was unavailable for cross-examination and the defendants did not rely on her
evidence. Maxie Cuffie admitted to writing the editorial of 20th April, 2003, which
appeared in the Sunday Express under the caption “Passing the BWIA buck”.
Amplification of the claimant’s evidence
[89] The claimant was permitted, orally, to amplify his witness statement before cross-
examination. At the end of the claimant’s cross-examination, Mr. FitzPatrick sought
to have admitted, Ms Marajh’s supplemental witness statement, which replied to much
of what the claimant had stated in his witness statement or in oral evidence. I admitted
the supplemental witness statement but gave leave to Mr. FitzPatrick to further cross-
examine the claimant on the facts raised by Ms Marajh in that supplemental witness
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statement, directing that this be completed before Ms Marajh’s cross-examination
commenced.
[90] In respect of the matters amplified upon, the claimant said, as to Mr. Reynald’s
witness statement and the minutes of the Board meeting to which he referred, that after
the departure of his (the claimant’s) predecessor, Mr. Reynald acted as CEO of BWIA
until April 1993 when he (the claimant) assumed the post. His mandate upon
assumption was “to turn around the airline and this required a change in organisation
structure and executives. He added that “when I completed the new organisation, Mr.
Reynald was not there”. Mr. Reynald asked to play a role in the company but “he did
not have requisite airline experience” and “he appeared to me to be disappointed”.
[91] The claimant was also permitted to amplify on the question of moneys obtained from
the sale and leaseback of the Lockheed L1011 aircraft which Ms. Maharaj alleged had
been “frequent” and had been used to bolster the profits of BWIA. He explained that
the original lessor of the aircraft, Finova Capital Corporation had almost seized the
aircraft because BWIA was having problems meeting the lease payments. They
therefore sought third party financing from Cabot Aviation, in order to acquire the
aircraft from Finova and then sold it to and leased it back from, Cabot “because we
did not have our own money to buy them from Finova. It was an involuntary
transaction”. There was no lump sum windfall.
[92] Mr. Aleong also amplified the circumstances under which the government paid to
BWIA the sum of nine million, nine hundred thousand United States dollars (US
$9,900,000.00) which was the subject of a comment by Ms Marajh in the article of
27th April.
Cross-examination of Mr. Aleong
[93] Mr. FitzPatrick’s cross-examination was primarily directed at showing that the articles
were published in the public interest and that they were accurate. He was able to
extract the following concessions from the claimant, to wit-
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(1) that BWIA declared a profit even though it could not meet its
lease payments;
(2) that BWIA got financial assistance for its services on the Tobago
airbridge.
(3) that, in the interview with Ms Marajh, he did make allegations of
personal vendettas against Captains Goddard and Kelshall and
Mr. Abraham;
(4) that his contract with BWIA, including housing allowances,
health and travel benefits and share options, was worth more
than the sixteen thousand United States dollars (US $16,000.00)
per month which he initially earned;
(5) that the unions were “calling for his head” and that this had
received media coverage;
(6) that the unions had publicly criticised the annual financial
statements which they described as a “strategic engineering of
accounts” and that two other commentators (Robert Mayers and
Ved Seeteeram) had publicly criticised the accounting for the
years of profit.
[94] On the question of ownership of the aircraft registered as 9Y-W1Z, he was shown, by
Mr. FitzPatrick, a document headed “Inspection instruction” signed by one David
Ramnath which purported to state the owner of the aircraft as WIAAL. However, in
re-examination, four certificates of registration were tendered into evidence, three of
which set out the ownership of the aircraft at various months in 2001 and one of which
set out ownership of the aircraft as at 20th September, 2007. The certificates were all
certified by the Director of Civil Aviation. They showed that WIAAL No. 2 (as
opposed to WIAAL) and Caribbean Aircraft Acquisitions Ltd were respectively listed
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as owner/lessor of the aircraft in 2001 and 2007, (the addresses of both companies are
the same), while BWIA and Tobago Express are variously listed as lessee operator. It
was clear that WIAAL was never the owner of the aircraft. The claimant added that
Caribbean Aircraft Acquisitions Ltd was a company formed by Tobago Express to
own the aircraft 9Y-W1Z and was a wholly owned subsidiary.
[95] Asked, in re-examination, to explain how a company can make a profit but not meet
lease payments, the claimant said that there is a difference between cash flow and
profit, such that one can have expenses on the books without the cash going out or
conversely, there may be revenue on the books without cash coming in.
[96] He said that the financial statements produced by the Board were audited by Price
Waterhouse Coopers and all bore a certificate from the Board of Directors of BWIA,
authorising the issuing of the financial statements. Those statements were available to
the public and were published in the national newspapers from time to time.
Cross-examination of the defendants’ witness
Camini Marajh
[97] The cross examination of Ms Marajh was protracted. The trust of Mr. Martineau’s
cross-examination, consistent with Lord Nicholl’s ten considerations in Reynolds, was
to show that Ms Marajh, as a journalist, had not acted responsibly in the preparation
and writing of her articles, or in her interview with the claimant; that is to say, the
articles were not products of responsible journalism. He sought to demonstrate that Ms
Marajh had not properly verified her information and that persons who were her
“sources” had axes to grind with the claimant. He succeeded.
[98]The claimant complained about a number of inaccuracies in the articles, which were
mostly confirmed during cross-examination of Ms Marajh and which I accepted were
inaccurate. It is necessary to refer to them, in order to put into perspective the reasons
given and concessions made by Ms Marajh during cross-examination, because the
Reynolds considerations came into play.
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Factual Inaccuracies
(I) The executive supply contract
[99] Ms Marajh in her articles of 6th April 2003 and 13th April 2003, alleged that the
executive supply contract was worth forty thousand United States dollars
(US$40,000.00) per month (6th April 2003) and thirty thousand United States dollars
(US$30,000.00) per month (13th April 2003) and also referred in the latter article to
“Aleong’s pay deal” and to his remuneration package being worth “about thirty
thousand United States dollars (US$30,000.00) plus allowances.” At the interview,
the claimant had told Ms Marajh that the moneys paid under the contract were moneys
paid to three executives. Indeed that latter information (not the quantum) was
available in the 2000 Prospectus. At the time of the articles, the claimant’s package
was twelve thousand five hundred and twenty United States dollars (US$12,520.00)
per month (but in cross-examination he conceded that when travel, housing and other
benefits were taken into account, it was worth far more.).
(II) Sale of BWIA’s catering concerns
[100] In her articles of the 6th April 2003 and 13th April 2003, Ms Marajh spoke of Katerserv
having a contract of the catering facility with Allied Caterers Ltd (6th April 2003) and
that BWIA sold a forty-five percent interest in Allied Caterers to the Goddard Catering
Group (13th April 2003). BWIA, however, retained a fifty-five percent stake in Allied
Caterers and owned fifty-five percent of Katerserv through its wholly owned
subsidiary WIAAL No. 2. In her 6th April 2003 article Ms Marajh however spoke of
the Katerserv contract being “lucrative” and described BWIA of having “only a small
stake” in Katerserv. She also wrote that, “in the 2001 BWIA accounts, the catering
operation was said to be worth three hundred and sixty million United States dollars
(US$360,000,000.00).” In fact, none of BWIA’s accounts showed any such thing.
The 2001 accounts show a figure of three hundred and sixty thousand United States
dollars (US$360,000.00) for “depreciation and amortisation” with respect to catering
operations.
Page 68 of 96
(III) Quid Pro Quo for Goddard
[101] In her article of 13th April, Ms Marajh suggested that the Goddard Catering Group got
a “sweetheart” deal when purchasing forty-five percent of the shares of Allied
Caterers Limited. She could not verify the allegation. The suggestion was that the
purchase of the forty-five percent shareholding was obtained as part of a “deal” and
was in fact a quid pro quo for subscribing to BWIA’s IPO in 2000.
(IV) Tobago Express
[102] In her article of 13th April 2003 she described Tobago Express as a “paper” company
and quoted “insiders” as questioning whether start up costs were not “closer to US $5
dollars than US $7 million as stated in the accounts” and also spoke of BWIA’s
“practice of sharing money-spinning opportunities with private individuals” and “the
loss of another BWIA corporate opportunity to the fifty-one percent privately-owned
Tobago Express.” Tobago Express in fact was far from being a “paper” company. It
was a seven hundred thousand United States dollar (US$700,000.00) investment.
(V) Suspicious Profits
[103] Ms Marajh, in her articles consistently questioned whether the profits made in the
years 1998, 1999 and 2000 were real profits, suggesting that they were in fact
procured through a “doctoring” of the accounts by booking income from the
“frequent” sale and leaseback of aircraft and by wrongly listing the disposal of a block
of Equant shares as “sale” rather than as a “loan”. She quoted one Ved Seereeram
who said of the Equant share transaction that “the whole transaction was a clear sign
that the books were manipulated to report a much better picture than the actual state
of affairs”. In fact, there were no “frequent” sale and leaseback but one such
transaction involving two aircrafts. The articles were also written as though the
accounts were prepared personally by the claimant who manipulated them in order to
obtain a bonus.
(VI) Ownership of aircraft 9Y-W1Z
[104] It was alleged that the aircraft 9Y-WIZ was owned by WIAAL. This was taken by Ms
Marajh from an inspection instruction document which wrongly listed WIAAL as the
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owner of the aircraft and which instruction was later cancelled. The document was not
even certified by any public official. However, it was owned by WIAAL No. 2 and
then leased to BWIA and then subleased by BWIA to Tobago Express. Caribbean
Aircraft Acquisitions Ltd later acquired the aircraft and leased it to Tobago Express
and subsequently to Caribbean Airlines Limited. There was no “maze of offshore
companies” nor was any of the companies “secret”. Their existence was fully
disclosed in the BWIA’s annual reports. Moreover, in the interview Mr. Aleong had
fully and clearly explained the tax implications behind the formation of the companies
in the Cayman Islands and the leasing arrangements.
(VII) Two Aleong Companies
[105] In her article of 6th April, Ms Marajh spoke of two Aleong companies, stating that
“CA International was hired by the Lawrence Duprey board of directors … through a
second Aleong company.” During the interview, Mr. Aleong had explained that CA
International was not another company but a brand name and was a division of Air
West Indies Limited.
Indeed, this is the sequence of question and answer:
Q: Where is CA International incorporated and why is its
executive supply contract done through a second company, Air
West Indies Limited?
Ans: It is not a second company. It is the same company. The
company official name is Air West Indies Limited, a consulting
division of CA International and I use it as a brand name so
that I can keep the airline name different from consulting.
At the end of the interview, on the question that CA International was not found in the
companies’ registry, he repeated that “CA International is a brand name, it is not
registered as a company, it is registered as a brand name” (more than once). He
added that CA International is a consultancy and was a division of Air West Indies
Limited.
Page 70 of 96
Concessions made by Ms Marajh
[106] During the course of cross-examination, Ms Marajh was forced to make a number of
concessions the most significant of which I shall now set out hereunder-
1. General concessions
• that “for the most part”, there were several aspects of her story
for which she could produce no documentary corroboration.
She added that, “documentary evidence was not always readily
available or forthcoming and my memory of the volume of
transactions that I reviewed in 2003 is not complete at this
time”;
(I considered the latter answer unacceptable since Ms Marajh
was aware quite early enough during the series that the claimant
was likely to take legal action and ought to have prepared for
such an eventuality. Indeed, Ms Marajh had been permitted
several opportunities during a break in proceedings or at the end
of a day’s sitting, to review her notes and report back to the
court, and in most instances could not verify her facts.)
• that nowhere in her articles did she hold the board of directors
accountable for plans which the claimant told her (during the
interview) had been approved by the BWIA board of directors.
Her response however was that “it was not a question of
holding anyone accountable but merely presenting the
information to the public”;
(That latter comment however, was not consistent with the tone,
style and direction of the serial which clearly held the claimant
accountable
Page 71 of 96
• a lot of the information she used in her article could have been
verified (but were not) by checking them against published
documents in her possession;
• that at the time of writing the articles, BWIA’s board of
directors had authorised the financial statements;
• in response to Mr. Martineau’s suggestion that she didn’t
verify her information before publication, she said that “there
were some honest errors but given the time frame, I did my
best to verify the information” (she did not detail how);
• that a lot of her sources of information (among others) were
persons who were critical of the claimant or antagonistic
towards him (Captain Kelshall, Abraham and former
employees of BWIA who had been retrenched);
• she did not tell the claimant, at any stage, that there were
allegations of greed made against him or, of him having
personal vendettas or, of him engaging in smear tactics;
• that the unions had an axe to grind with BWIA and the
claimant
• she did not check the records of the Registrar General to see
whether CA International was registered as a trade name. She
did think that it was a prudent thing to do but spoke of time
constraints:
“the airline was falling apart. It was a do or die
situation and there were deadline considerations”;
• she searched the companies’ registry for CA International but
did not search for a brand name. (CA International is
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registered under the Registration of Business Names Act,
Chap. 82:85)
II Specific Concessions
(a) Tobago Express – Free Ride – lucrative airbridge
• she conceded that in the interview the claimant was at pains to
tell her that BWIA got paid for everything it provided for
Tobago Express and he gave specifics (reservations and
maintenance). She further conceded that she never told the
claimant of Minister Valley’s concerns about Tobago Express.
She gave the following as her reason;
“It is a general strategy in conducting interviews to
the information gathering process when you go to the
person, you put the question out without letting them
know you have other information, it varies for the
subject, circumstances and issue.”
(I considered that strategy to have been flawed and
misguided. By no stretch of the imagination can it be
considered fair.)
• she conceded that she had no accounts to show that the
Tobago airbridge route was lucrative;
• she stated that she relied on “insiders” when she spoke of “loss
of money-spinning opportunities” and that the “insiders” and
“observers” were BWee employees and other sources;
• admitted to calling Tobago Express a “paper company” even
though she was aware that a number of parties had made
significant investments in it (seven hundred thousand United
States dollars) (US$700,000.00);
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(b) The “virtual giveaway of BWIA’s catering concerns’
• she could not find or verify in any BWIA’s published accounts
(or in any document for that matter) that BWIA’s catering
concern was worth three hundred and sixty million United
States dollars (US$360,000,000.00);
• she conceded that on the basis of the information she had at
the time of writing the articles, she could not say that BWIA
had a small stake in Katerserv.
(c) Fictitious profits – bolstering of the BWIA bottom line
• that contrary to her statement in the 6th April article that there
were frequent sale and lease back transactions which bolstered
BWIA’s profits, there was only one sale and lease back
transaction (involving two aircraft) during the period 1998 to
2000
• that the accounts for 1998, 1999 and 2000 were prepared and
BWIA certified by Price Waterhouse Coopers and that the
financial statements of BWIA were prepared by PWC in
accordance with international accounting standards.
(Ms Marajh appeared to be skeptical of PWC’s reputation,
referring in cross-examination, to the fact that they were
“perceived” as a respected firm of accountants and suggesting
that the firm’s American counterpart was the accounting firm
which had been held responsible for false accounting in the
‘Enron’ scandal, a suggestion she later conceded was wrong.)
• that the monthly lease payments (in respect of the sale and
lease back arrangement) of BWIA L1011 aircraft and the buy
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back price were disclosed in the 2000 prospectus and was
therefore public information;
• that the claimant told her that one could not sell assets and
place them as operating profits;
• that BWIA’s accounts separated operating profits from profits
for the sale and lease back arrangement and from the Equant
shares, the latter two of which were both declared under non-
operating expenses/income and that the separation was clear
and obvious under the appropriate heads;
• that the difference between the put option (option to re-
purchase) and the market value of the securities under the
Equant shares had been provided for in the accounts;
• when shown the BWIA accounts for 1999, she conceded that it
was not correct to say that, operationally, the airline did not
make one thousand nine hundred and eighty-seven million
United States dollars (US$1,987,000,000.00);
• she didn’t tell the claimant during the interview, that there
were suggestions that he bolstered the BWee bottom line by
booking income from frequent sale and lease back of assets;
• she said she was told by Ved Seeteeram and industry analysts
that the Equant shares were not properly recorded. Although
she could not say whether Mr. Seeteeram was an accountant
she was prepared to write the articles on the basis of what he
and others said;
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(d) Ownership of 9Y-W1Z/existence of WIAAL
• as to the ownership of the aircraft 9Y-W1Z, she acknowledged
that the document CMII (inspection instruction) which
purported to show that it was owned by WIAAL had been
cancelled. She said she had personally checked the records of
the Director of Civil Aviation to determine the ownership of the
aircraft over time. She conceded however, that before writing
the articles, she should have obtained certified copies of the
registration certificate for the Director of Civil Aviation (which
would have revealed the true ownership);
• that she was fully aware that the existence of WIAAL had been
made public by the 2000 prospectus and there was nothing
secret about its existence;
• she accepted that ownership of the aircraft 9Y-W1Z was
disclosed in the 2001 accounts (Caribbean Aircraft
Acquisitions Ltd) as was the ownership of the other three
Dash-8 aircraft.
(She added however, that her concern was that the several
transactions involving change of ownership of the aircraft were not
reflected in the accounts and that accounting procedure would not
have been the basis of her review of the transaction.)
(e) Aleong’s pay deal
• she said she never asked Mr. Aleong whether his remuneration
was thirty thousand United States dollars (US $30,000.00) plus
allowances, because he refused to discuss it;
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(f) Minority shareholders action
• she conceded that she was aware that the minority
shareholders’ action had been withdrawn but continued to
pursue the very questions raised in the action because “there
were concerns flagged by stakeholders in the industry” who
included industry analysts, shareholders (including
government) and unions;
• the unions had expressed those concerns in public
pronouncements and in interviews she had conducted with
them;
• as to the suggestion that the union members to wit; Abraham
(of ACAWU), Goddard and Kelshall (of Talpa) had “axes to
grind” with the claimant, Ms Marajh stated that they appeared
to have a “beef about his management but were not hostile to
him.” She conceded that she was aware of an incident between
Goddard and the claimant over the return of an aircraft
captained by Goddard but Goddard, while he did not express
any hostile views in her interview towards the claimant, did
admit that he didn’t have a good relationship with him. She
was aware of the relationship when she wrote the articles.
(She went on to say however, she did not believe that she
included in her articles information given to her by Goddard and
Kelshall but some of Mr. Abraham’s concerns were included).
Cross-examination of Gary Reynald, Sunity Maharaj and Maxie Cuffie
[107] Mr. Reynald denied that the statements in recital 2 of his termination agreement
reflected the reasons for his leaving BWIA. Recital 2 stated that BWIA considered it
expedient and in its best interests to terminate Mr. Reynald’s services and to require
him to resign from his position with effect from June 1993. He said the document was
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purely to facilitate the provision of a quantitative payment such as to avoid taxation.
He added that he played no role in writing, printing and publishing the articles,
although as CEO of Caribbean Media Ltd, he was the publisher. Neither was he
consulted in any way about their writing or publication. He was aware of a letter of
complaint written about the articles by Mr. Aleong’s attorneys-at-law but although he
did get involved after the letter was written, it was not with respect to the writing or
publication of the articles. He became aware of the contents of the articles only upon
reading them in the published newspaper editions. Under cross-examination, Sunity
Maharaj stated that she did not discuss the articles with Ms Marajh at any stage nor did
she check the contents.
[108] Mr. Cuffie admitted that he wrote the editorial but stated that he had nothing to do
with the writing of the articles or the investigation that preceded them. He admitted
that in writing the editorial he drew on what he had read but that he did not himself
undertake any independent investigation.
Application of Reynolds – the decided cases
[109] I turn then to the application of the Reynolds privilege. The decided cases were quite
instructive. In Jameel and Ors. v The Wall Street Journal Europe Sprl, (supra) the
judges of the House of Lords took a varied approach to how Reynolds privilege is to
be applied. But a common theme which ran through their judgments was that it is to
be applied in a practical and flexible manner having regard to practical realities. This
approach was commended by Lord Nicholls of Birkenhead in Bonnick v Morris
[2003] 1 AC 300 at paragraph 24 where he said of the application of the doctrine of
responsible journalism that;
24. “To be meaningful this standard of conduct must be applied
in a practical and flexible manner… A journalist should not
be penalised for making a wrong decision on a question of
meaning on which different people might reasonably take
different views… If the words are ambiguous to such an
extent that they may readily convey a different meaning to an
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ordinary reasonable reader, a court may properly take this
other meaning into account when considering whether
Reynolds privilege is available as a defence. In doing so the
court will attribute to this feature of the case whatever weight
it considers appropriate in all the circumstances.”
See also the comments of Lord Carswell in Seaga v Harper [2008] 1 All ER 965
page 971 para. 12 where, speaking of the Reynolds privilege as explained by House of
Lords in Jameel he said:
“The third matter debated since Reynold’s case, and now specifically dealt
with by the House of Lords in Jameel’s case, is how the factors set out by
Lord Nicholls in describing responsible journalism in Reynold’s case are
to be handled. They are not like a statute, nor are they a series of
conditions each of which has to be satisfied or tests which the publication
has to pass. As Lord Hoffmann said in Jameel’s case (at [56]), in the
hands of a judge hostile to the spirit of Reynold’s case, they can become
ten hurdles at any of which the defence may fail. That is not the proper
approach. The standard of conduct required of the publisher of the
material must be applied in a practical manner and have regard to
practical realities (see [56]). The material should, as Lord Hope of
Criaghead said (at [107]-[108]), be looked at as a whole, not dissected or
assessed piece by piece, without regard to the whole context.”
[110] As to how I should have approached the matter, Lord Hoffman in Jameel provided
helpful guidance. He posed three questions to be answered sequentially (see page 381
para. 48):
(1) was the subject matter of the article of public interest?
(2) if yes, was the inclusion of the defamatory statement justifiable?
(3) if yes, were the steps taken to gather and publish the information
responsible and fair.
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[111] Lord Hoffman added that in considering whether the subject matter of the material was
in the public interest, one must consider the article as a whole and not isolate the
defamatory statement. It is not necessary in considering the contents of each
publication to find a separate public interest justification for each item of information
within the publication. At page 382 para. 49, he said:
“The question of whether the material concerned a matter of public
interest is decided by the judge. As has often been said, the public
tends to be interested in many things which are not of the slightest
public interest and the newspapers are not often the best judges of
where the line should drawn. It is for the judge to apply the test of
public interest.”
At paragraph 50 he added:
“In answering the question of public interest, I do not think it
helpful to apply the classic test for the existence of a privileged
occasion and ask whether there was a duty to communicate the
information and an interest in receiving it. The Reynolds defence
was developed from the traditional form of privilege by a
generalisation that in matters of public interest, there can be said to
be a professional duty on the part of journalists to impart the
information and an interest in the public in receiving it. The House
having made this generalisation, it should in my opinion be regarded
as a proposition of law and not decided each time as a question of
fact. If the publication is in the public interest, the duty and interest
are taken to exist…”
He then went on to say at paragraph 51that:
“…The fact that the material was of public interest does not allow
the newspaper to drag in damaging allegations which serve no
public purpose. They must be part of the story. And the more
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serious the allegation, the more important it is that it should make a
real contribution to the public interest element in the article. But
whereas the question of whether the story as a whole was a matter of
public interest must be decided by the judge without regard to what
the editor’s view may have been, the question of whether the
defamatory statement should have been included is often a matter of
how the story should have been presented. And on that question,
allowance must be made for editorial judgment. If the article as a
whole is in the public interest, opinions may reasonably differ over
which details are needed to convey the general message. The fact
that the judge, with the advantage of leisure and hindsight, might
have made a different editorial decision should not destroy the
defence. That would make the publication of articles which are, ex
hypothesi, in the public interest, too risky and would discourage
investigative reporting.”
[112] As to whether the journalist behaved responsibly, Lord Hoffman opined that:
“The question in each case is whether the defendant behaved fairly
and responsibly in gathering and publishing the information. But I
shall for convenience continue to describe this as ‘responsible
journalism’.
…But the standard of responsible journalism is as objective and no
more vague than standards such as ‘reasonable care’ which are
regularly used in other branches of law. Greater certainty in its
application is attained in two ways. First, as Lord Nicholls said, a
body of illustrative case law builds up. Secondly, just as the
standard of reasonable care in particular areas, such as driving a
vehicle, is made more concrete by extra-statutory codes of behaviour
like the Highway Code, so the standard of responsible journalism is
made more specific by the Code of Practice which has been adopted
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by the newspapers and ratified by the Press Complaints Commission.
This too, while not binding upon the courts, can provide valuable
guidance.
[113] The decision of the Privy Council in Bonnick v Morris (supra) was a case in which
the journalist was held to have behaved responsibly. In that case the claimant sued
over an article which he contended was defamatory of him in that it conveyed a
meaning that his services as managing director of the Jamaica Commodity Trading
Company had been terminated because of impropriety. The defendant journalist had
written an article which was published in the national newspaper. The article related
to litigation between a government-owned Jamaican company and a foreign supplier
with regard to two contracts executed while the claimant was the company’s managing
director. It referred to unusual aspects of the contracts and allegations of irregularities
made by an unnamed authoritative source. After giving the claimant’s response, the
article stated that “his services as managing director were terminated shortly after the
second contract was agreed”.
[114] Despite being told by the claimant that there had been no connection between the
termination of his employment and the contracts, the journalist had made no inquiries
about the reason for the claimant’s dismissal and made no reference in the article to his
explanation for it.
[115] The Judicial Committee of the Privy Council held that the natural and ordinary
meaning of the words in question, as would be understood by the ordinary reader, was
that the plaintiff had been dismissed because the company was dissatisfied with his
handling of the contracts in one or more of the respects referred to by the anonymous
source. The Board went on to hold however, that the article was the product of
responsible journalism.
[116] Lord Nicholls at page 310 paragraph 26, rationalised the Board’s decision thus:
“JCTC was a government owned company whose management was
appointed by the government. Its import business affected the cost
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of living of everyone. The activities of this company and the
competence of its management, were matters of considerable public
concern. Members of the public were entitled to be informed of the
Prolacto court proceedings. If the newspaper had seemingly reliable
information of incompetence or irregular conduct by the
management of JCTC, that also was a matter of legitimate public
interest, provided the information was reported in a balanced and
responsible fashion. Here, the general tone of the article was
restrained. Mr. Bonnick was approached, and his comments were
printed even-handedly beside those of the anonymous source. The
article did not associate itself with one or other of the two divergent
versions of events.
The fact that Mr. Bonnick was no longer the managing director was
itself a matter of legitimate public interest. The defamatory
imputation, while a matter of importance, cannot be regarded as
approaching anywhere near the top end of a scale of gravity. The
public is well aware that from time to time senior managers are
made scapegoats. Downer JA noted that the departure of high
profile executives from their companies is not an uncommon feature
of commercial life in Jamaica. The defamatory meaning of the
words used was not so glaringly obvious that any responsible
journalist would be bound to realise this was how the words would
be understood by ordinary, reasonable readers. The failure to make
further inquiry, and the omission of Mr. Bonnick’s explanation of
his dismissal, although unfortunate, have to be evaluated, and their
compatibility with responsible journalism considered, against this
background.
Taking all these matters into account, their Lordships consider that,
although near the borderline, overall this article was a piece of
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responsible journalism to which the defence of qualified privilege is
available.”
[117] In Seaga v Harper [2008] 1 All ER 965, the Board held that the defendant’s
publication of the words was not protected by qualified privilege because the
defendant had failed to take sufficient care to check the reliability of the information
he had disseminated.
Findings of fact
[118] The Reynold’s privilege applies where the defence of qualified privilege is raised in
the absence of malice. However, having regard to the pleadings and allegations of the
claimant, there remains the question whether the articles were maliciously intended to
injure the claimant. It was thus first necessary to decide on the facts, whether there
was any malice proven in which case the defence would have been defeated. The
claimant had, in effect, alleged malice on the part of the defendants, by contending that
he was targeted by the defendants because of his termination of Mr. Reynald’s
appointment at BWIA. He contended that Mr. Reynald’s departure was a direct result
of his decision to separate Mr. Reynald from BWIA and that Mr. Reynald was a close
friend of Captain Goddard who was also antagonistic towards the claimant. Mr.
Reynald’s answer was that his decision to leave BWIA had already been made by the
time of the claimant’s arrival at BWIA. Mr. Reynald testified that he had been enticed
by Mr. Ken Gordon to take over stewardship of the CCN group and the claimant
merely signed the separation agreement which had been formalised to permit him to
avoid tax. Mr. Reynald also denied any knowledge of hostility towards the claimant
coming from Captain Goddards.
[119] Having regard to the entire evidence in this case, I found the claimant’s contention
more credible and I accepted that he did in fact terminate Mr. Reynald’s appointment.
I did not accept however that the claimant was “targeted” by the defendants. In my
judgment, the claimant as president and CEO, was being held accountable for the
financial circumstances of the airline. It was a question of accountability. Indeed, I
considered that the claimant had a heavy burden to discharge in proving malice against
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Mr. Reynald in this case. The fact of his termination of Mr. Reynald’s appointment,
without more, was not sufficient to infer malice. Moreover, I accepted Mr. Reynald’s
evidence that he did not take part in the crafting or editing of the articles and that he
was not aware of any antagonism towards the claimant emanating from Captain
Goddard.
[120] I also rejected the claimant’s contention that he was tricked by Ms Marajh into doing
the interview. In any event, given the nature of the job he held, the claimant should
have come to expect that difficult questions would be put to him. It was entirely his
choice whether to answer them (as he chose to) and how. Nor should he have
expected that he could dictate the terms under which the interview would be conducted
or the questions to be asked. What was ultimately important was that his answers
should have been fairly portrayed in the articles.
Public Interest & Responsible Journalism
[121] I turn now to the final two questions in this case, to wit- were the articles in the public
interest and were they the products of responsible journalism to which the defence of
qualified privilege is available?
(i) Public Interest
[122] In my judgment, the answer to the first question was in the affirmative. The articles
were concerned with a subject matter of public interest. Questions about the
operations of BWIA, the quality of its management, its profitability and even the
remuneration package of its senior management including the chief executive officer,
were matters of public interest. BWIA had been consistently dependent on
subventions from the central government and ultimately the taxpayer. The
remuneration packages of the CEO and other senior managers at a time when the
airline was struggling to stave off its creditors and was approaching the government
for further financial assistance, were matters of public interest and more so if they
should be shown to be excessive or extravagant. Indeed, the fact that the airline could
have declared three years of profit but yet return, cap in hand, to the government for
financial assistance within twelve months was a matter worthy of coverage. Certainly
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these were all matters which were amenable to journalistic investigation and to
discussion in the public domain. Moreover, none of its minority shareholders was
willing to inject additional money into the company and it fell to the government as
majority shareholder to do so. Ms Marajh was well within her prerogative to pursue
the story.
(ii) Responsible Journalism
[123] Under this head, I shall also consider the second and third questions posed by Lord
Hoffman in Jameel, i.e. was the inclusion of the defamatory statement justified and
were the steps taken to gather and publish the information responsible and fair.
Freedom of the press is an express fundamental right under our constitution. The
press plays a pivotal role in our democratic process and the role of an independent
investigative journalist, in a bureaucratic culture not always given to transparency, is
especially important. I was thus mindful that any decision of the court must have been
careful not to set standards which are unduly restrictive and stifling of what is still a
fledgling profession in Trinidad and Tobago. But that, of course, had to be balanced
against the claimant’s right to his reputation which is an integral part of his right to
security of the person. In order for the defence of qualified privilege to be available,
any report which was defamatory of the claimant must have been responsibly
researched, neutral in tone, fair and balanced. His side of the story must have been
given prominence and have been fairly put.
[124] As to the ten Reynolds considerations, I was especially mindful of the necessity to
apply them with flexibility and practicability and that they were not hurdles which the
defendants had to surmount. Nor did I consider that, in this case, it was necessary to
set them out individually on separate heads and to individually apply them to the facts
of this case.
[125] As Lord Hoffman stated in Jameel, the question whether the defamatory statement
should have been included is often a matter of how the story should be presented, and
on that question, allowance must be made for editorial judgment. In this case a lot
turned on how the story was presented. The difficulty for the defendants was that the
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fourth defendant was not assisted by any other senior member of staff including the
second or third defendant in the decision of what material should have been included
in the story or how it should have been presented. There was no editorial judgment
exercised by anyone other than she.
[126] The evidence of both Mr. Reynald and Ms. Sunity Maharaj was that Ms Marajh was
allowed considerable journalistic latitude in what she wrote and what was published. I
accept that editorial curbs on the content of any article can be a source of tension
between journalist and editor and even publisher and is reflective of the journalistic
philosophy of the newspaper concerned. I also accept that the greater the latitude
given to the journalist the more likely it is that freedom of expression is truly
manifested but there will be occasions in which editorial participation and that of the
publisher are required. Good sense and good judgment are sometimes better exercised
with the participation of members of the editorial and publishing staff who are
themselves detached from the story. It also makes for responsible journalism.
Unfortunately, it appeared that in this case, Ms Marajh was a virtual one-woman show
and while Ms. Marajh’s independence may have assisted the defendants in rebuffing
the allegations of malice as regard to Mr. Reynald, it did not enhance their defence on
the question of responsible journalism.
[127] In my judgment, while the claimant’s management of the airline, his remuneration
package, the acquisition of the four Dash-8s, the start up of Tobago Express, the sale
and leaseback of airplanes and their inclusion as non-operating profits were matters of
legitimate public interest and merited inclusion in the article. The manner of their
presentation, the failure in many instances to accurately report the facts, moreso, facts
which could have been verified from available documentation, left a lot to be desired.
The tone and style of the articles in the series was sensationalized. There was no
restraint or detachment. Despite claims of urgency by Ms Marajh (the airline was
falling apart), I did not consider that there was any urgency with respect to the
publication of these articles such as to have required quick judgment calls under
pressure. It was April 2003, the articles concerned the financial years 1999 to 2001
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which were long gone. Even if a decision had to be taken with respect to the bailout
of the airline, the government appeared to be in no hurry. There was no undue
pressure to go to print expeditiously. In my judgment, the facts could have been
checked and verified with a lot more care and the articles presented with far more
detachment. Moreover, the inaccuracies in some of the articles gave an even more
distorted picture which put the claimant in an even less favourable light.
[128] The claimant’s side of the story was never put in a neutral or restrained manner but
presented in a shrill and aggressive style. The effectiveness of his account, when
given, was often attenuated by immediate rebuttals of the author herself or by
comments from unnamed sources. Some of these sources by her own admissions had
axes to grind with the claimant, a consideration she seemed not to consider.
[129] In the interview, the claimant, by Ms Marajh’s own admission, was not confronted
with a number of matters raised in the articles. Indeed, the manner in which the
interview was conducted was quite unsatisfactory. Ms Marajh stated in cross-
examination that the style of interviewing was to obtain information from the claimant
without necessarily letting him know that she had other information relevant to the
topic. She added that it was a particular style of interviewing. Such an approach was
manifestly unfair to the party who was being interviewed. If the reporter had
information which contradicts, calls into question or even supplements what the
interviewee may say or affects him in any material way, it should be put to him so that
he can give his side of the story or voice an opinion. The public interest could never
be served by the presentation of information to the public which was not balanced or
even-handedly presented.
[130] Having read the written transcript of the interview, it was apparent that much of what
the claimant said in the interview was left hanging in the articles, such as to give a
misleading picture of what was actually said. I refer by way of example, to the third
article captioned Aleong’s Pay Deal” in which the claimant was quoted as “thumbing
his nose at critics” of his pay package and as dismissively maintaining “that his pay is
nobody’s business”. The transcript of the interview, however, shows that there were
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sober concerns expressed by the claimant for not divulging his pay package. Whether
these were persuasive or not would have been a matter for the reader, had he or she
been given the opportunity to read them. Rather, the reader was left with an
impression of the claimant that he was truculent, arrogant and dismissive about what
were legitimate issues surrounding his pay package.
[131] I refer as well to the many inaccuracies which I have set out at paragraph 99 to 105
above and to the many concessions made at paragraph 106 above. Factual
inaccuracies which are defamatory may not necessarily be fatal if the journalist took
appropriate steps to verify the accuracy of his or her story. In this case, the many
inaccuracies gave a distorted picture. Tobago Express was described as a “paper
company”, the cost of start up for which was described as “closer to US $5 than US 7
million”, when in fact, local investors had put in close to seven hundred thousand
United States dollars (US $700,000.00). The evidence of Mr. Clovis suggested that
the cost of start up was anything but cheap. BWIA was described as owning a“small”
stake in Katerserv despite owning fifty-five percent of shares through its fully owned
subsidiary WIAAL No. 2. The value of the catering concerns of BWIA was put at
three hundred and sixty million dollars ($360,000,000.00). Ms Marajh could provide
no basis upon which she arrived at that figure despite having been given ample
opportunity to justify it. When taken together, these figures and statements gave the
impression that the claimant had given away valuable income earning assets and had
allowed Tobago Express to profit from the operations and services of BWIA
[132] Tobago Express was described as having been given “a free ride” by BWIA with
respect to services provided to it by BWIA. In fact, Ms Marajh had been told in the
interview with the claimant that Tobago Express paid for every service which BWIA
had provided. This was verified by Mr. Clovis in his witness statement. No effort was
made by Ms Marajh to verify whether Tobago Express was in fact a paper company.
Indeed, in the interviews, the claimant had named some of the investors to whom she
could have spoken. Further, the accounts of BWIA were presented as if they were
prepared by Mr. Aleong himself, with no input from the Board and no certification by
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external auditors. Mr. Williams was right that the articles proceeded on the basis that
the claimant “was running the airline like a parlour”.
[133] It is not to say that one could not be critical of the accounts of BWIA for 1998, 1999
and 2000. But it was quite another thing however, to openly suggest that the accounts
were manipulated by the claimant so that he could get a bonus.
[134] Similarly, Ms Marajh took no account of the fact that some of her sources, including
the airline executives and union officials, had axes to grind with Mr. Aleong, although
she stated she was aware of those facts.
[135] There was also no neutrality in the tone of the article such as to allow the reader to
come to his or her own conclusion. The articles led inexorably to a negative
conclusion about the claimant. More significantly, the many damaging concessions
made by Ms Marajh during cross-examination and to which I have referred,
demonstrated that her researching of the articles fell short of the standard required to
cloak the articles with the protection of the Reynolds privilege. It was not so much a
question of inaccuracies but the efforts (or lack of) made to minimise them. In my
judgment, having regard to the entire evidence, the articles were not the products of
responsible journalism to which the defence of qualified privilege should apply. The
claimant was entitled to succeed.
Damages
(i) General damages
[136] I agreed with Mr. Martineau that the libels were of a serious nature. The claimant is a
professional, a chartered accountant who would be expected to display the highest
level of integrity. He was the CEO of BWIA, a job which gave him a high public
profile. The libels took place over a five week period in which the very same
allegations were repeated again and again. The effect on the claimant’s credibility was
devastating. I refer to the following three paragraphs of his witness statement;
13 “Prior to the publication of these articles, my integrity and
honesty were never questioned so much so that after I left
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BWIA, I was asked to return to BWIA for a second stint.
Such was the confidence I enjoyed in the airline industry and
in Trinidad and Tobago. I had received a letter from the
Prime Minister of Curaçao, thanking me for the job done at
ALM Antillean Airlines which I sent to Ms Marajh after the
interview. On the other hand, during and after the
publication of the articles complained of, people began
speaking to me in disparaging terms calling me a thief in
public and referring to me as a ‘smart man’ and accusing me
of doing as I wished with shareholders’ money and asset,
forming secret companies, sharing profit making enterprises
with friends, making deals for the catering company and so
on.
14. After the publication of these articles in April 2003, I
declined most social invitations and public appearances and
restricted them for example, to one or two Carnival fetes per
year, despite enjoying Carnival very much previously. I even
used to ‘play Mas’ every year since my return to Trinidad in
1993. About ten (10) months after the articles were first
published, I went to a carnival fete in CAREC in 2004. I was
standing at the bar and a lady came up to me, while I was
standing there with my partner and friends waiting for
drinks, she said to me – ‘you still in this country? You see all
you thieves, all you coming to our country – and ‘…is a good
thing we is good people because we would ah throw you out ah
this country already, I do not know why you still here’. I was
shocked. My partner and friends were shocked. I just walked
away. This spoiled my entire afternoon and evening and for
days after. Shortly after, I went to the St. Mary’s College fete
and she was there again, standing and staring at me again
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saying similar things. However, this time the music was so
loud others could not hear her. Again, my evening was spoilt
and I went home early. I am not aware of anything in the
public domain, apart from these articles, that could have
caused this woman to speak to or about me like that. When I
again ventured out a year later in 2005 to the Carnival fete in
Moka, a young Indian fellow out of the clear blue, standing
at the bar, looked at everybody and said about me ‘…but all
yuh eh know this is the smartest man in this country, boy, look
at the smart man’. Out of embarrassment I had to walk away.
At that time I thought all of this had gone by and yet this
fellow was saying those kinds of things about me in public.
So that again affected my feelings for a long time again
afterwards. As recently as August 2006, I was at the Tobago
Express counter at Piarco, with my partner waiting to check
in, when Mr. Morgan Job approached me to buy a book
which he was selling. I did not have a lot of cash on me so I
declined. He then said in a loud voice in front of a lot of
passengers, ‘how come you don’t have money. Everyone
knows that you thief BWee money, so you must have some’.
Again the only things that I know of that could have caused
them to make those remarks were the publications in the
Express of which I complain. The Express, in their sustained
effort to avoid giving me any credit or to paint a balanced
picture about me, to this day speak of BWIA as never making
profit when the Express knows full well and published in the
past that BWIA made three years of audited profits under my
stewardship.
15. At the time of the articles, based on the reactions I got from
BWIA’s middle managers when I met with them and the
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questions they were asking about these articles, I could see
the doubt in their faces as well, I had lost the moral authority
to run BWIA. There was no question in my mind but that I
had lost moral authority. People were thinking of me as a
thief. My position was untenable. The Express had
published three articles before in December 2002 and
January 2003 written by Orion Ganase, critical of BWIA’s
IPO and referring to the shareholders’ lawsuit and of
unfairly cutting jobs to please shareholders, I had accepted
these as par for the course for a CEO. However, in 2003, the
allegations went much further, attacking my character and
my integrity. The articles were part of an orchestrated
attempt to denigrate me. The articles came at a time, when,
like almost all of the airline industry (perhaps except for
Southwest Airlines) BWIA was in deep financial trouble and
I was asking the workers at BWIA to make sacrifices. Once
the articles were published the mood of the workers had
changed. Prior to the publication, I would have regular
meetings with 300 to 600 staff in attendance. After the
publication of the articles, the response to staff meetings was
very poor. If 75 to 100 came, that was plenty. I had to stop
calling meetings. The meeting mood had changed and I felt
like they doubted my every word. My executive staff relayed
to me what the general staff were thinking which was, here I
was asking for sacrifices and BWee people are saying ‘…but
you thief all this money why not put it back in!’ By the time
the fourth article appeared on 20th April, 2003, the effect of
the articles published was that I was being hounded out of
office to such an extent that the Government was calling
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upon me to resign. My position had become untenable, such
that I had to resign.”
[137] In my judgment, the claimant was entitled to substantial damages. The articles so
destroyed his credibility at BWIA, that he had to resign. The adverse effects on his
credibility are also reflected in the statement of Michael Dolsingh, Clint Williams,
Neil Gajadhar, Esther Maharaj and Julia Maharaj. The claimant’s account of the
remarks directed at him during Carnival of 2004 and of 2005 illustrates that he came
to be regarded by some members of the public as a thief and a “smart man”. Even
before those two incidents, he had become antisocial, declining most social invitations
and restricting his appearances in public.
[138] The Sunday Express enjoys a large readership. It has the largest circulation of all the
newspapers in Trinidad and Tobago. It is also available on the internet thus expanding
its leadership beyond the shores of this country. More significantly, it is a newspaper
which commands considerable respect, well known for its fierce independence and its
equally fierce defence of press freedom. What it publishes (particularly in a series
such as this) carries great credibility.
[139] Ms Marajh too, enjoys a reputation for independence and credibility (as Michael
Dolsingh and Mr. Reynald testified) and has received awards for her work. This
combination of Sunday Express/Camini Marajh reputability would have had a
devastating effect on the claimant’s reputation. While the claimant need not have
proven damage, the evidence of damage was abundant. By his own evidence, he was
unable immediately to obtain a job. He was regarded as damaged goods. He was
fortunate to have a family concern into which he could have been absorbed.
[140] Ours is a small country. Port of Spain is a small city. Persons of the profile of the
claimant cannot disappear. Those who have been the subject of negative publicity can
suffer greatly. Venturing out of their homes can be an ordeal. They are easily
recognised. Heckling and verbal abuse (of which the claimant spoke) are directed at
them. This can go on indefinitely. Self-esteem is severely affected. Many are forced
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to migrate. I consider Lord Nicholl’s dictum in Reynolds at 1023E, worthy of
repetition. I can put it no better:
“Reputation is an integral and important and part of the dignity of the
individual. It also forms the basis of many decisions in a democratic
society which are fundamental to its well being: whom to employ or
work for, whom to promote, whom to do business with or to vote for.
Once besmirched by an unfounded allegation in a national newspaper,
a reputation can be damaged for ever, especially if there is no
opportunity to vindicate one’s reputation.”
[141] I do not believe that the claimant could ever reclaim the reputation he once had. There
will be many who will continue to harbour doubts about his integrity. The claimant
deserved to be appropriately compensated for the damage. As a very senior executive
who operated at the highest level, the damage to his reputation was significant.
Moreover, I did not consider that any of the precedents to which I was referred could
quite compare in terms of damage, having regard to the period of time over which the
libel spanned. I also considered that those awards are quite low and, having regard to
the lapse of time since those awards and the fall in the value of money, my award
should be significantly higher. At the other end of the spectrum, I took into account
that the award should not be so high as to act as a disincentive to investigative
journalism. In all the circumstances, the claimant was entitled to the sum of four
hundred and fifty thousand dollars ($450,000.00).
(ii) Exemplary Damages
[142] In my judgment, the claimant was also entitled to significant exemplary damages.
Each article advertised the fact that the “SAGA” continued the following week. There
were articles which stretched over a period of five weeks. The claimant was thus
subjected to the oppression of these allegations over a protracted period of five
Sundays. He sought an apology after the first article which was ignored and the series
continued.
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[143] Much of the contents of the articles were repeated over the five week period. In many
respects, the continued publication after three weeks was unnecessary. All that could
have been said had already been said after three weeks. In my judgment, the articles
were extended as a means of boosting sales on a matter which had generated great
interest among members of the public. There was the clear intention that the series
should attract and keep the reading public’s attention thereby boosting sales. Some
articles were given prominence with banner headlines. The articles were written in a
sensational style with eye-catching headlines. I considered that the quantum of
exemplary damages should have reflected the court’s concern for what was seen as
revenue earning opportunity at the claimant’s expense. The claimant was entitled to
have his reputation vindicated as far as possible. I thus awarded exemplary damages
in the sum of two hundred thousand dollars ($200,000.00).
Costs
[144] After judgment was given, an issue arose as to whether the claimant was entitled to
costs under the 1975 Rules of the Supreme Court or the Civil Procedure Rules 1998
(CPR 1998). This matter was commenced before the CPR 1998 were instituted.
Counsel for the claimant, on a perusal of the court file, argued that the matter had been
set down for hearing before the commencement of the CPR 1998 on 16th September,
2005 and the 1975 regime should apply. My ruling then was that the parties had all
proceeded on the basis that the CPR 1998 had applied and if the action had been
wrongly brought under the new CPR 1998, it would still not have been appropriate to
award costs under the 1975 Rules because the parties had conducted themselves in
such a way as to have adopted the CPR 1998.
[145] But further consideration of the documents on the court file showed that the trial
had not been set down for hearing until after the commencement of the CPR 1998
and that the CPR 1998 was in fact the appropriate regime. Part 80.3(1) of the
CPR 1998 is relevant. It provides that the CPR shall apply to proceedings begun
before the commencement date:
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(a) Upon a request being made to have a matter set
down; or
(b) If a judge or master so orders.
and the court office issues a notice to the parties requiring
them to attend a case management conference or pre-trial.
In this case, the court file shows that the request of the claimant’s instructing attorney
to set down the matter on the trial list was made on 2nd November, 2005 (after 16th
September commencement of the CPR 1998) and the Registrar issued a notice to the
parties dated 25th July, 2006 requiring them to attend a case management conference.
In the circumstances, Part 80.3 (1)(a) applied (the notice wrongly stated that it was
Part 80.3) (1)(b)) and the CPR 1998 was in fact the appropriate regime under which to
assess costs. The appropriate order assessing prescribed costs had therefore been
made.
NOLAN P G BEREAUX Judge 30th July, 2010