Please halt the trauma, Mr PM

THE EDITOR: Kindly publish the following open letter to the Honourable Prime Minister Patrick Manning, on a financial topic about which he invited comment.

Dear Prime Minister:

I am putting pen to paper as a private citizen to ask you most sincerely to re-consider the revocation of Mr Hubert Alleyne’s appointment as Chairman of the Unit Trust Corporation. Mr Alleyne is a loyal and devoted citizen with a deep commitment to helping improve the prosperity and quality of our people — an aim substantially supported by a successful career in banking during which he led the introduction of an Employee Stock Option Plan (ESOP) at his place of employment.  This gave employees shares in the very successful bank.  He is also a founding member of the UWI Institute of Business, and ROYTEC. He subsequently served with energy and initiative as CEO at the TT Chamber of Industry and Commerce; and at TT where he formulated plans for marked asset and performance growth in co-operation with the Canadian Broadcasting Service.  This rejuvenation for TT did not get the nod of the previous government, and the station was left in a state of quandary from which it has not recovered. Undaunted, he brought his spirit of innovation, and his experience and proven integrity to the chairmanship of UTC.

It was he who devised and fashioned the idea of exchanging the VSEP payments of Caroni workers for no-payback loans backed by Individual Retirement Unit Accounts at UTC, with a good prospect of capital gains.  It proved to be a major success and an historic event that boosted UTC’s coffers by over $300 million.  He promised more new ideas. On the matter of the mooted link-up with FCB, Mr Alleyne and his competent Board quickly reached the conclusion that a merger is impossible, a view openly held by your goodself.
The UTC has stated it was satisfied that it is not legally structured for a takeover or a merger, as
(1) The maximum investment by UTC in any one stock is limited to ten percent.
(2) All the funds of UTC are owned by the unit holders.  This includes reserves.
(3) $1 billion in FCB shares are held by the government.  These would have to be bought out by any merging interest, if nor at par, then as a “gift” if the Government feels inclined to do a write-off, or some such. Since Mr Alleyne’s views on a merger are no different from yours, then the only point on which there may be a variance of views, is that of a successor to Mr Clarry Benn.

You yourself have said that Government has no favourites in the matter, theoretically leaving the UTC to arrange for an orderly succession in the stipulated six months.  But even if “une mesentente” exists, areas for discussion should be explored, for as author Napolean Hill notes, there’s nothing that can’t be negotiated.  Perhaps this can be in open forum so that the full thinking and data of both sides can be put under the lens of a democratic hearing. My own humble point of view, Prime Minister, is that there has been much ado about virtually nothing.  A phantom has been somehow created and it’s threatening to have a malicious life of its own if left unchecked and not wiped out. The extent of angst and confusion is disturbing the harmony of the financial and even social structures and I appeal — like many others — for you to draw on your reserves of statesmanship, and halt this unnecessary maelstrom and trauma.  You would indeed be serving your country well, in keeping with the observation — “Whoever wants to be first must be last of all, and servant of all.”

LLOYD CARTAR
Port-of-Spain