Gda: I am not a crook!

ST. GEORGE'S -- STINGING allegations of corruption at the highest level of the government in Grenada have been met with strong denials and threats of legal action.

The latest allegations, regarded as the most serious yet of an administration that has been continuously plagued by unproven claims of corruption, are reported to be creating unease in the government of Prime Minister Dr Keith Mitchell, and a stir on the streets of Grenada.

The latest furore comes out of an April 30 story carried in an offshore alert publication called KYC NEWS based in Miami. The article was authored by David Merchant, a man who has made his name unveiling offshore scams, corruption and international rip-offs from Bermuda to the Cayman Islands.

The Grenada government says it will sue Merchant, who has had a 100 percent success rate in defending himself in court, for the publication of the story which among other things effectively accused top officials of bribery.

The New National Party administration issued a statement Monday defending its relations with controversial German Eric E Resteiner, who for two years was a Trade Counsellor for Grenada in Europe. Resteiner who was appointed in 1999 had his appointment revoked two years later after he got into legal troubles.

The government is denying that anything was wrong with the relations it had with Resteiner, claiming that an all expenses paid oversees trip to Europe and the Middle East by the Prime Minister was a normal thing such representatives do in the execution of their duties.