Barbados Nation ( Barbados )
02 February 2023 ( Page 19 )
SSL ends silence on police probe
KINGSTON – The embattled Stocks and Securities Limited (SSL) says it had intended to facilitate law enforcement and other professional investigators as they probe the recent events at the investment firm without making public comment.
“However, it has become necessary to set the record straight in respect of some damaging and widely repeated inaccuracies which suggest, inter alia, that the SSL directors and management sought to dispose of assets in order to frustrate efforts by authorities to take control of same,” the company said in a lengthy statement, adding “this is simply untrue”.
The Jamaica government has announced that the United States Federal Bureau of Investigation (FBI) will assist local authorities in the investigation of the alleged multi-million dollar fraud at SSL.
Prime Minister Andrew Holness has said no effort will be spared in uncovering the full extent of the fraud at the SSL, whose clients included eight-time Olympic champion Usain Bolt.
The legendary world-class sprinter is allegedly to have been fleeced of millions of dollars in local and foreign currencies
given to the firm to invest.
Bolt has indicated through his lawyer that he had a balance of US$12.7 million at SSL as at October 31, 2022, but that figure declined to US$12 000 on January 11.
In the statement, SSL said that on January 10, this year, it had notified the Financial Services Commission (FSC) of the discovery of apparent fraud and of the immediate steps being taken.
“This serves to advise the Financial Services Commission that Stocks and Securities Limited (SSL) is currently investigating allegations of alleged fraud committed by an employee serving in the role of client relationship manager.
“The exposure is unknown, and SSL is currently undertaking investigations with the support of our attorneys, Guardsman Elite, and external auditors. The employee was interviewed by our attorneys on January 6 and 7, 2023 in the presence of her attorney and has admitted to wrongdoing. Other interviews are scheduled for the week of January 9, 2023, with known associates,” the company said in its correspondence to the FSC.
The SSL said that “at this time, it appears that the employee amended and generated fraudulent client documents including encashment requests and statements to circumvent the internal protocols”.
It said that the matter had been reported to the board of directors and communication had been sent to clients.
“The company estimates that within seven to 14 days there will be a reasonable estimate of the exposure, however, this is unknown at this time. SSL has confirmed that its insurance policy includes coverage for employee dishonesty and forgery with coverage up to US$1 million. Efforts are also being made to have the employee commit to restitution.”
SSL acknowledged that a representative of Bolt had visited the company on January 11 indicating the employee being investigated “had turned up at their offices to confess that she had falsified statements provided to them, had stolen money from them and other SSL clients, and was requesting help . . . Bolt’s management team to repay the clients whose funds she had stolen. (CMC)