THE police say they have placed in abeyance their investigation into a complaint lodged by a former business partner of a director of Cornerstone United Holdings Jamaica Ltd (CUHJL).

The complaint and request to charge was filed May 19 by businessman Robert Smith in respect of a transaction he said was effected almost 10 years ago.

However, on May 24, two days after the Jamaica Observer reported that the police were investigating the claim, the Counter Terrorism and Organised Crime Investigation Branch (C-TOC) wrote to Smith advising of their decision to place his complaint “in abeyance pending any new material that could advance the probe”.

The police told the businessman that, on the face of what they have unearthed thus far, “it is believed that we cannot prove a case beyond a reasonable doubt and it would be difficult to find any such material now and in the foreseeable future”.

C-TOC told Smith that a review was conducted and certain material were examined, including his statement of complaint, particulars of claim lodged April 4, 2022, the defence of the first defendant filed May 19, 2022, the trust deed dated June 26, 2019, as well as the relevant legislation, such as the Trustee Act and the Larceny Act.

“The very existence of the trust deed negates any action on our part,” the police told Smith.

“Based on the totality of the matter, we believe that the matter can be resolved,” the police added.

Only recently, Smith filed a lawsuit against CUHJL and its sister set-up Cornerstone Financial Holdings Ltd (CFHL) and six of the organisations’ directors over the ownership of ordinary shares.

The suit filed by Smith in the Supreme Court seeks the court’s declaration that he is the owner of 850 ordinary shares in CUHJL and CFHL combined.

He is also seeking damages for what he called a breach of trust, while suggesting that the value of the shares was diluted following rights issues by Cornerstone in 2020 and 2021.

Months before, Sagicor Investments had also filed a lawsuit against CFHL in the Supreme Court of Barbados in which it is seeking US$4 million in connection with two rights issues.

Editor’s note: In our report last week Sunday we had incorrectly stated that the claim made by Sagicor was US$44 million. It is actually US$4 million, as we have carried here.