The cheques, which were shown to the Chronicle, are currently in the possession of the Guyana Rice Producers Association (GRPA), and the farmers have now advised their lawyer to seek further legal action because Pandora has been in contempt of an order issued by the Court last Friday.

Following Friday’s picketing exercise outside the Bel Air Office of the Pandora Rice Incorporated to protest non-payment for paddy sold to the company during the last rice crop, the Guyana Rice Producers Association instituted legal action on behalf of the farmers. As a result of this action, the High Court issued an order to Pandora to lodge within 24 hours of receipt of the Court Order the amount of money being claimed by the plaintiffs plus other costs.

Subsequently, the farmers were issued with 32 cheques totalling about $2.9M. But yesterday, when several of them went to the National Bank for Industry and Commerce (NBIC) to cash the cheques, they were told that the account from which the cheques were supposed to be encashed has no money in it.

The farmers are claiming that they sold their paddy to Pandora in September/October last year, and that the firm, in turn, processed it and exported the product to its Jamaican buyers. But the farmers are yet to receive their payments.

The affected farmers, numbering about 75, are from Mahaicony, Mahaicony River and West Coast Berbice. They are represented by the Guyana Rice Producers Association.

General Secretary of the Association, Mr Dharamkumar Seeraj, told the Chronicle that when he contacted Pandora Inc about the alleged “bounced” cheques, officials of the firm explained that they are having problems with the transfer of funds from another account.

Mr Seeraj described this explanation as another “lame excuse”. He surmised that it has confirmed the GRPA’s suspicions that the funds from exportation of the rice have been deposited overseas, since, if the funds were in a local account then there should not be any difficulties. He added that earlier Pandora claimed that they have not received payments for the rice they exported.

Seeraj further stated that Pandora’s Jamaican buyers have categorically stated that they conformed in full to the contract entered between them and Pandora. This means that they have made full payments because the contract deals with terms of payment. This has led to a feeling of grave insecurity among the affected farmers, Seeraj noted.

Efforts yesterday to get a comment on the issue from officials of Pandora were unsuccessful

The GRPA General Secretary noted, too, that Pandora’s lawyer had told the Court that money is in the account from which the farmers are to be paid.

He further observed that both the Ministry of Agriculture and the Guyana Rice Development Board (GRDB) have been supportive of the farmers in their struggle to obtain payments that are owed to them by Pandora.

Seeraj emphasised that with 2004 being designated “Year of Rice” by the UN’s Food and Agricultural Organisation (FAO) the RPA is working assiduously towards improving the plight of rice farmers. He added that the non-payment by Pandora has added to the financial burdens of rice farmers, who are in a dire strait to obtain inputs for the present rice crop.

Seeraj also reiterated that the GRPA will stand by the farmers in their struggle and is prepared to do whatever is necessary to ensure farmers receive their payments.

The Rice Factories Act, Seeraj said, stipulates that contracts be entered into between suppliers and buyers of paddy. However, in this instance, no contract was entered into by the two concerned parties.

The GRPA in collaboration with the Guyana Rice Development Board has embarked on an educational and sensitising programme among rice farmers to update them on the Rice Factories Act in an effort to avoid problems of non-payment in future.