Intercommercial Bank severs ties with HCU

Intercommercial Bank is severing ties with the Hindu Credit Union, which is headed by Harry Harnarine. The bank cited the relationship with HCU as one having a certain element of “reputational risk.”  “We have agreed to part ways amicably,” was all Vishnu Maharaj, Managing Director and CEO, Intercommercial Bank, was prepared to say. Asked whether Harnarine’s abrasiveness and his recent brush with the law had anything to do with Intercommercial parting ways,  a source noted that his actions were adding to the bank’s reputational risk. “The bank looked at the relationship and it was felt that if it continued, we were going to suffer reputational risk,” the source said, noting that the bank was not prepared to do so.  

Sources said that after the bank discussed it with their attorneys, it was decided that it was best that both institutions go their separate ways. Financial sources say though that the relationship between the two entities would come to end on August 15. Sources say the relationship soured because HCU’s debit card, which allowed HCU members to access their money through Intercommercial Bank’s ATM, was not working as it should. “We found that HCU could not handle the administrative checks and balances,” a source at the bank said. “We ended up doing a lot of the work ourselves,” the source said. Sources said that when HCU members wanted to access their funds, there was insufficient money to do so and the bank was being blamed for this.