No statements under PP

Imbert said when the People’s National Movement (PNM) assumed office three years ago, “When we put government directors into CLF towards the end of 2015, we found that there were no audited accounts.” He said his predecessor Larry Howai was the subject of a court order in 2015 where a freedom of information request had been made for the provision of certain documents by the ministry. Imbert said these documents included the audited CLF accounts but, “they (PP) could not produce them because they didn’t exist.” Saying the PNM found this situation to be unacceptable, Imbert disclosed that draft audited accounts up to 2016 are being prepared.

“As soon as the audited accounts are available, they will be made public,” Imbert promised.

The minister said the same order commanded Howai, and now him, to produce copies of a presentation made in 2010/2011 by then finance minister Winston Dookeran to Independent senators on CLF. However, Imbert said, “No such record of any such presentation exists in the Ministry of Finance.” Under these circumstances, Imbert said the new PNM administration had no choice but to continue with the appeal against its PP predecessor.

Imbert questioned shareholders’ reluctance to sign extensions to the CLF shareholders agreement when the PNM returned to office. He observed there was no hesitation by shareholders to sign 15 extensions when the PP was in office. Imbert said the issue of drafting a document did not arise because the document in question was identical to the last 15 extensions that shareholders signed. He said the 16th and 17th extensions to the agreement were eventually signed. Noting the procrastination by shareholders to sign the extension, Imbert said Government asked them to provide a concrete proposal by October 31, 2016, as to how they would repay the $23 billion of taxpayers’ money used to bail out CLF.

Imbert said the shareholders sent him a letter on October 26, 2016, asking to get back CLF and for Government to ask the Central Bank to release Clico “back into their hands.” He said the shareholders promised to pay back the $23 billion if this was done. Imbert said Government found this proposal “totally unacceptable” because there was no guarantee that the monies would be repaid. He added that Government has “no influence over the Central Bank.

Imbert said it was shortly after that development shareholders produced the Project Rebirth report done by Price Waterhouse Coopers (PWC). He explained this was the former rejected proposal presented to Government in a different way. Imbert said it was instructive that PWC said, “This draft report should not be relied upon by anyone for any purpose whatsoever.” Reiterating that the PNM has protected taxpayers’ interest in the CLF issue, Imbert said amendments to the Insurance Act will seek to protect policyholders and other people from any future repeat of the CLF fiasco. He was optimistic that Parliament will approve these amendments later this year.