Frustrated.
That’s the state of mind of Minister of Finance and Economic Affairs, Christopher Sinckler, when it comes to contentious issue of BAICO and CLICO, saying Government has done all that it was required to do to bail out these failed insurance companies, yet the issue has not yet been resolved.
“In fact between British American and CLICO we are looking at close to 800 million when it is all told... probably close to one billion dollars over 20-plus years that the government and tax payers of Barbados are going to have to underwrite to bail out these two companies.”
Speaking in Parliament on an amendment to the National Insurance legislation, he said, “I want to say and place on record, that it is not for the fault of trying and intervention and agreement by the Ministry of Finance, or the Government of Barbados that anything in relation to those two bailout scenarios have been delayed.” Everything that they have asked me to do I have done.”
“The two companies are under judicial management and under the direction of the Court. We were given a restructuring plan, we were asked to agree to both of them. We agreed to both of them. We were asked to draft legislation to bring here to Parliament to have Parliament sign off for the bailout plan for the bonds and so forth. We brought it here and did that. We were asked to provide 50+ million for CLICO. We took a loan from Central Bank, the money is still there.”
“Everything that we have been asked by the judicial managers and everything I have been asked to sign off on by my staff – by way of recommendation – we have done. We were asked to set up two companies, an asset management company and the new insurance company... I did it, as asked to be done, in the time frame asked to be done, and handed over everything to the people who were supposed to get it done.”
“I too, like everybody else have my frustrations as to why up to now, between the judicial managers, the Court and whoever else is involved in the process at that level that we cannot get these matters dispensed with. I said very clearly that I am not approving another cent of taxpayers money to be spent, until I see that this matter is resolved. Nobody isn’t getting paid another cent until these matters are dealt [with],” he said, conceding that the matter is complicated.
The Minister said he will be very unsettled about the matter during an upcoming meeting with the British American representatives on Friday morning and mused he may have to take “calm down pills”.
“We provided the money – everything is there. Just get on with it and let people get their money, get these things resolved and let’s move on to something else. That is my position on it. I’m not putting blame on anybody, but I know where blame ought not to be placed,” he said. (JH)