Cayman Islands

Prev    Next British American Insurance Cayman operations placed into controllership Published on Wednesday, September 16, 2009 Email To Friend    Print Version GEORGE TOWN, Cayman Islands -- The Cayman Islands Monetary Authority (CIMA) on Friday appointed controllers to manage the affairs of British American Insurance Company Limited’s (BAICO) Cayman Islands operations. The controllers are Messrs Simon Whicker and Kris Beighton of KPMG. Effective with their appointment, Messrs Whicker and Beighton will assume immediate control of BAICO’s affairs. The controllers will continue to manage BAICO’s operations, subject to the cease and desist order previously issued by CIMA on 29 June 2009. CIMA said its decision to appoint local controllers has been taken in light of the increasing financial and operational difficulties of the Cayman branch, which reflect the grave problems being experienced throughout the Caribbean by the company (which is registered in the Bahamas) and its parent company, CL Financial Limited, of Trinidad and Tobago. To date, BAICO has not been able to fully satisfy the requirements that CIMA imposed on it in the cease and desist order issued on 29 June 2009, and directives issued to BAICO in subsequent letters, despite CIMA extending the deadlines. The cease and desist order prohibited BAICO from issuing new policies of any kind and, in summary, required the company to bring its operations back in line with the requirements of the Cayman Islands Insurance Law. Placing the local entity into controllership will allow CIMA to ensure that there are persons in charge of the local operations who have legal power to make and execute decisions to safeguard the interests of BAICO Cayman’s creditors and policyholders and the public interest. This includes ensuring, as far as possible, that the assets belonging to the local entity, including assets held in trust, are secured for the benefit of its creditors and policyholders.   Reads : 772   Prev    Next

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