Danny Was Paid $6m For Bungled Accounts Report

DANIEL Ferguson was reportedly paid $6million for his supposed "forensic audit report" in a case involving a row over $100million between two feuding brothers.

Expats Rami and Amir Weissfisch reportedly paid $3million each to settle the $6million accounting bill submitted by Ferguson in their case.

Justice Anita Allen has ruled that Ferguson's report and findings on the accounting books in the case "were inadequate and incomplete".

PLP MP and lawyer Philip "Brave" Davis, who represents Rami Weisfisch, has appealed Justice Allen's ruling on the accounting matter.

Rami Weisfisch's lawyers feel that Justice Allen should recuse herself from the case on the grounds of bias. But in her ruling Justice Allen rejected claims of bias and denied the request for her to step down from the case. Michael Scott, who represents Amir Weissfisch, 49, has reportedly submitted to the court a forensic audit conducted by a leading firm of accountants in London.

Justice Allen's ruling also questioned the handling of the case by Justice John Lyons. Australian-born Justice Lyons recused himself from the case in Sept 2008. Lyons appointed Ferguson as auditor in mid-2007. At the time Justice Lyons was dating Ferguson's sister Shonell Ferguson, a former Olympic athlete. Lyons instructed Ferguson to hire a qualified team of forensic auditors to compile his report.

Lyons set Ferguson's fee at $1,000 an hour. Ferguson said he spent 50 hours a week on the report - that's $2.5million-a-year. Ferguson also hired several others to assist him, including his sister Shonell, at a reported $500-an-hour. In her ruling, Justice Allen said that Ferguson had failed to hire forensic auditors, as ordered by Justice Lyons. Ferguson admitted that he did not have the experience or qualifications to conduct a forensic audit. As a result of the scandal, Ferguson is expected to resign as President of The Bahamas Institute Of Chartered Accountants (BICA). Rami Weisfisch, 62, donated big bucks to the PLP's campaign in 2007. Rami and Amir were 50-50 partners in the Metals Resources Group (MRG).

Originally published in The Punch, 30 March 2009.