Offshore bank placed under receivership

ST JOHN’S, Antigua – Antigua Overseas Bank Ltd has been placed under receivership by the Financial Services Regulatory Commission (FSRC).

When contacted, FSRC officials and Minister of Finance, Harold Lovell remained tight-lipped about the reasons why the regulator had moved on the company. In fact, Lovell directed OBSERVER Media unsuccessfully to FSRC supervisor Paul Ashe and Chairman of the Board, Althea Crick.

On its website, the FSRC said the way forward for the bank “may involve recapitalisation, reorganisation or other options.”

Over the next 90 days, joint receiver-managers Charles Walwyn and Kathy David whom the FSRC appointed on Wednesday April 11 will be working with the bank’s management and other stakeholders to chart its future.

The two have “full control of the bank” and are to submit a “full report” to the Commission within three months, at which time more information may be shared with stakeholders,” the online notice said.

The International Business Corporation Act allows the FSRC to appoint a receiver-manager if a company refuses to submit its records or operations for inspection by an auditor.

There can also be intervention if the “realisable value of the corporation’s assets is less than the aggregate of its liabilities and capital accounts, or financial conditions suggests it will shortly be in that circumstance.”

The other condition is the business being conducted imprudently or not in accordance with the Act.

A check on Antigua Overseas Bank website revealed that it offers private and corporate banking services and related products designed to meet the varying needs of high net worth individuals and corporations worldwide.

Antigua Overseas Bank Ltd is a member of the ABI Financial Group which is the parent company of ABI Bank. The domestic bank continues to be under the management of the Eastern Caribbean Central Bank, which took control of it last year.

 

 

 

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