British American in Antigua under judicial management

The government reaffirmed its commitment to putting people first as it works with its OECS partners and other governments within the Caribbean to find ways to protect the interests of British American policy holders around the region. (File photo)

ST JOHN’S, Antigua, August 3, 2009 – The Antigua and Barbuda branch of British American Insurance has officially been placed under judicial management, in a move that government said was aimed at protecting policyholders, investors and workers of the financially troubled company.

Acting Superintendent of Insurance Trevor Mathurin, under the direction of the Financial Services Regulatory Commission (FSRC), officially intervened in the company’s operations here and then obtained a court order to place it under judicial management.

Managing Partner of KPMG Eastern Caribbean, Cleveland Seaforth, has been appointed as Judicial Manager and has already taken over management.
 
A statement from the Office of the Prime Minister said it was the first step in a plan to find solutions for the ailing company – a plan crafted by Organisation of Eastern Caribbean States (OECS) governments.

“These actions are part of a regional commitment of the OECS governments to manage the risk posed to the OECS and its residents by the financial challenges being experienced by British American.  In similar actions judicial managers have also been appointed in other OECS States while applications remain pending in still other states,’ it said.

“It is anticipated that over the next several weeks the judicial managers from across the region will act both individually and collectively to confirm and flesh-out an OECS plan that would be most advantageous to the general interests of policy-holders and investors.” 
 
The government reaffirmed its commitment to putting people first as it works with its OECS partners and other governments within the Caribbean to find ways to protect the interests of British American policy holders around the region. 

It noted that although British American is a private company, it plays a significant role in the economies of the Eastern Caribbean by virtue of the size and extent of local and regional investments in the company.
 
British American has been facing difficulties ever since its parent company, the Trinidad and Tobago conglomerate CL Financial Group, fell into financial problems and had to go to the government of that twin-island republic for a bailout.