KINGSTON, Jamaica — The Financial Services Commission (FSC) says it is assessing its available options, including potential legal actions, after it lost a court battle on Friday to maintain control over Stocks & Securities Limited (SSL).

The court gave control of SSL to appointee Caydion Campbell, who had been unable to carry out any of his functions since FSC took over the management of the company following the uncovering of a $5-billion fraud, the victims of which include legendary sprinter Usain Bolt.

SSL cannot be tried for criminal proceedings without the court’s approval.

The ruling is the second blow the FSC has received in a matter of months. The FSC took temporary management of SSL on January 17, 2023 but lost a bid to amend a lawsuit against SSL in March. At that time, the FSC had attempted to include a claim that two former directors signed a declaration of solvency after their resignations in January 2023.

READ: FSC loses control of fraud-hit SSL

In a statement to media noting its mandate as regulator, the FSC said it will continue to work to safeguard the interests of SSL’s clients and the broader financial system.

Executive Director of the FSC, Lieutenant Colonel Keron Burrell shared that, “The FSC respects the court’s decision, however, the commission is currently reviewing the judgment and assessing the available options, including potential further applications to the Court in furtherance of its mandate as regulator. The FSC will continue to work to safeguard the interests of SSL’s clients and the broader financial system.”

The commission added that it will remain actively involved in this process ensuring that the winding-up process is conducted transparently and in the best interests of all stakeholders.

“The court has confirmed the insolvency of SSL and mandated a court-supervised winding up of the entity, underscoring the gravity of the situation facing the company. Such an order validates the FSC’s assessment and regulatory actions that would have been taken up to this point,” the statement read.

“The court found no issue with the conduct of the temporary manager appointed by the FSC, recognising the diligence exercised during the management period. However, the court has ruled that the temporary management by the FSC-appointed manager instituted on or around January 17, 2023 ceases immediately. The process of winding up SSL will continue with the Trustee appointed by SSL in place for the purpose of the court-supervised wind up and reorganisation,” it continued.

The commission further noted that the court has also stayed all proceedings against SSL, providing a period of stability for the reorganisation efforts.

A follow up court date is scheduled for September 26, 2024, where the trustee will present a detailed report and additional applications will be considered.

Lt Col Burrell added that the commission continues its collaboration with law enforcement agencies to ensure that any, and all acts of impropriety at SSL are thoroughly investigated and the perpetrators held to account to the full extent of the law.