Clico chairman’s term ends July

“The board of directors’ terms are a year...

That is standard. After a couple of years of yeoman’s service, Wendy Ho Sing is leaving but she has done some great work over the years.

She’s leaving on July 5, so we are working on the transitional arrangements.” Hilaire was responding on Tuesday to Dacon’s claims that Ho Sing and two directors recently submitted letters of resignation following instructions from the ministry to dispose of assets, namely Home Construction Ltd shares, pledged to the Clico policyholders statutory fund without actuarial valuations.

Last Sunday, Dacon told Newsday, “Under our laws and regulations, assets pledged to the policyholders statutory fund cannot be removed without first obtaining an actuarial valuation that says the fund will still be in surplus after the removal.” He questioned the legality of such instructions to the Central Bank appointees to the board, adding that this is what has triggered the reported resignations.

“If there is gross negligence in the performance of their (the government’s) duty, or what lawyers call malfeasance, people appointed (to Clico board) could be held personally liable for damages.” He argued this is “a criminal issue” to which Newsday asked Dacon if Duprey intends to take legal action.

“Ultimately that will come but the first action is to re-take control of CL Financial; the holding company that owns 51 per cent of Clico,” Dacon replied.

Regarding this, Newsday asked Hilaire if the Central Bank was worried about Duprey taking legal action in the future.

The governor said, “We do our job. We do our job on the Clico side to ensure a clean resolution. We are not worried.” Newsday also asked if Duprey was considered a fit and proper person, according to Central Bank criteria.

“If it comes up, we will have our views based on past information and what may have transpired before.

In that sense, we will act accordingly.” Hilaire spoke with Newsday after the presentation of 2016 Financial Stability Report at the Central Bank, Eric Williams Financial Complex, Port-of- Spain.

Meanwhile, Finance Minister Colm Imbert, responding to Newsday’s questions via email on Monday evening, said, “the term of office of the present Clico board, appointed under the tenure of the previous administration, is coming to an end.” “That is all. Boards do not continue forever.

They have an expiry date. I am advised that a new board will be put in place by the Central Bank shortly,” Imbert stated.