A high court judge in Grenada on Wednesday ruled in favour of The Grenadian by Rex Resort in its efforts to prevent the Keith Mitchell-led government from acquiring the property.
British-born judge, Justice Gerhard Wallbank delivered his ruling following arguments last Friday on an injunction order brought by the owners of the hotel against the action taken by the 3-year old ruling New National Party (NNP) government.
A well-placed source told this newspaper that the judge ruled that the Government Notice posted in the Gazette purporting to acquire the hotel was “invalid” and “unlawful.”
The case was argued for Rex Grenadian by Queen’s Counsel, John Carrington who flew into the island from Tortola in the British Virgin Islands while Solicitor General, Dwight Horsford appeared for the State.
The source said that the Mitchell government has taken the decision to appeal the ruling and sees the setback as only a “temporary halt” to its efforts to take over Rex Grenadian.
Speculation is rife that government intends to hand over the property to another group of investors.
Both Horsford and local attorney-at-law, Dickon Mitchell of the law firm Grant, Joseph & Co through whom Carrington is arguing the case for Rex walked out of the court on Wednesday morning without speaking to the assembled reporters.
The judge has reportedly issued a “gag order” on the lawyers to prevent them from making public statements on the issue.
The defeat suffered by government on the Rex Grenadian issue comes against the backdrop of another bitter battle involving the Mitchell regime and a local committee opposed to moves by the State to hand over Camerhogne Park to a hotel developer.