|

Finsac Enquiry

Crawford makes fresh appeal to Finsac for leniency

JIS

Thursday, July 14, 2011



THE Financial Sector Adjustment Company (Finsac) says it is awaiting advice from the Attorney General's Department on how to respond to a new appeal for leniency from former Century National Bank (CNB) boss, Don Crawford.

In a statement on Tuesday, general Manager of Finsac, Errol Campbell reiterated that following representations from Crawford the matter had been referred to the Attorney General's Chambers for advice.

Campbell said that Crawford had made a number of representations to Finsac and the previous government for leniency, or assistance with medical bills on humanitarian grounds for his ailing mother who is over 90 years old.

"These were not approved, in view of the court orders obtained for the sale of the properties," he told the Finsac Commission of Enquiry meeting at the Jamaica Pegasus Hotel in New Kingston. However, he said similar representations have since been made to the current government and Finsac, which have been referred to the Attorney General.

Campbell said that following enquiries from the Commission of Enquiry, the Finsac files were reviewed. They confirmed that representations were made from as early as 2006 by Crawford's attorney that based on the age and health of his mother, consideration should be given to granting her a lifetime interest in her residence.

"This was not agreed, but she was allowed to continue occupying the house for a further three months, as this would not unduly affect the timetable for the proposed sale of the properties, bearing in mind the sale process," he stated.

Campbell pointed out that in 2005, the Privy Council upheld a decision of the Jamaican courts for Crawford to pay the Financial Institutions Services Limited (FIS), forerunner of Finsac, $2.8 billion in principal and interest for unsecured loans made ahead of Century's collapse in the mid-1990s. Subsequently, Finsac obtained a court order for sale of various properties owned by Crawford and connected parties.

He told the commission that finsac has already raised $339 million from the sale of real estate and other assets, including a 1931 Buick motor car, owned by Crawford. The figure does not include proceeds from the sale of connected companies like Blue Cross of Jamaica, sold for US$3 million, and the Jamaica Grande Hotel, sold for US$37.5 million. Finsac is also seeking to sell 30 more prime real-estate properties and three vintage motor cars seized from Crawford.

In his statement to the Commission on June 7, Crawford claimed, "It is widely rumoured that the Prime Minister (Golding) has been warned that any attempt to extend even humanitarian assistance to myself and my 91-year old mother would be seen as a deliberate breach of court orders". However, he invited the prime minister to expose the warning to the scrutiny of impartial legal counsel, as well as to the weight of precedent.

The enquiry resumes today wit former People's National Party housing and water minister, Dr Karl Blythe scheduled to give evidence.



POST A COMMENT

HOUSE RULES

 

1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper – email addresses will not be published.

2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.

3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.

4. Please do not write in block capitals since this makes your comment hard to read.

5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.

6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.

7. Lastly, read our Terms and Conditions and Privacy Policy



comments powered by Disqus

Finsac Commission to recall Dr Davies

 

Blythe hints at Finsac insider trading

 

‘A grave injustice’ - Blythe says Finsac was necessary, but

 

Crawford makes fresh appeal to Finsac for leniency

 

'Were it not for God, I would have been dead' — Crawford

 

Davies poses Finsac questions to Shaw

 

JRF CEO says company being used as scapegoat

 

Attorney wants Blythe to testify at Finsac Enquiry

 

Finsac Enquiry commissioners asked to subpoena PJ

 

There were too many institutions in the market — Hylton

 

Lawyer challenges Finsac Commission's decision on witness questions

 

My bank bungled and Finsac took hard line, says businessman

 

Former NCB exec laments non-co-operation of Finsac

 

'They destroyed me'

 

Chen-Young fears for his safety

 

Chen-Young: Finsac abrogated its responsibility

 

Farmer says '90s high interest rates quadrupled $320,000 debt

 

Justice Downer is legal adviser, not a Finsac commissioner

 

Jim Parkes still in shock over Mutual Life's collapse

 

Opposition wants Finsac lawyers at enquiry

 

Today's Cartoon