The Hon. Dr. Timothy Harris, Minister of Finance, says that his ministry and the Eastern Caribbean Monetary Council will continue to monitor unfolding developments in relation to the financial difficulties being experienced by CL Financial Group and related companies.
CL Financial Group is one of the largest companies in the Caribbean; however it was recently discovered that the group was experiencing cash flow problems. On January 30, 2009, the government of Trinidad and Tobago and the Central Bank of Trinidad and Tobago announced that the government was intervening to protect depositors, investors and policy holders in CL Financial Group and a new management would take over.
Dr. Harris said that “our ECCB has been in communication with relevant authorities in Trinidad and Tobago and Barbados and we are communicating too at government to government level to ensure that in St. Kitts and Nevis and the wider level of the Eastern Caribbean Currency Union, the financial stability of systems is not jeopardized and our citizens and residents are not overly exposed”.
He said the Ministry of Finance is gathering information regarding the level of the country’s exposure to CL Financial Group and related companies and that would be share information with relevant authorities as it becomes available.
“Policy holders and investors must seek regular updates on the situation. So far things appear to be under control. I believe that the matter will be sorted out in a way that is mutually beneficial and least disruptive. The measures outlined by the governments of Trinidad and Tobago and Barbados are helpful and inspire confidence,” said Minister Harris.
The CL Financial Group operates branches in St. Kitts and Nevis, providing insurance services through CLICO and British American Insurance and mortgage services.
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