The Linden Mayor and Town Council currently owes the National Insurance Scheme (NIS) in excess of $70 million and has entered into an agreement which will see the Council paying the Scheme $200,000 per month in order to clear its debt.
When contacted on Tuesday, Chairman of the Finance Committee Waneka Arrindell confirmed the monies owed.
She said it is an old case that the new Council is trying to rectify as soon as possible. The LM&TC’s current NIS payment is almost $800,000 monthly. Arrindel said the Council hopes to pay its monthly dues and those owed, according to the agreement, but fears that if something is not done to increase revenue collection it may not be possible.
She said revenue collection of recent has been at an all time low and the Council is looking at ways to change that.
At the rate of repayment, it will take 29 years for the LM&TC to finish paying.
Newly elected Mayor Carwyn Holland said he has made representation on behalf of the council to central government on the issue. “What I will propose to this Council is that the Town Clerk, and all other managers, manage effectively to prevent any recurrence of such things,” Holland said.
As it is now, the Mayor and Town Council cannot afford to pay its current NIS which is $800,000 per month, even though they will be paying 200,000, per month on the $70 million owed, the debt will continue to rise, and workers’ pension may be in jeopardy.