Trinidad and Tobago
Guardian
Former ANSA Bank employee to pay compensation for fraud scheme
By Derek Achong
A former employee of ANSA Bank is set to have to pay millions of
dollars in compensation for his role in a $30 million fraudulent loan
conspiracy involving a group of foreign used car dealers.
Delivering a judgment yesterday morning, Justice Frank Seepersad
upheld the bank’s multi-faceted case against its former business
development officer, Dwayne Rojas.
However, Justice Seepersad rejected its case against Rojas’ former
colleagues, digital support service representative Zaria Sankar,
business development manager Reyvaan Rampersad, and operations
supervisor Kerry Ramsaroop.
He also dismissed an aspect of the multi-million dollar case against
Adriana Ramsingh, who was not employed by the bank but was in a
relationship with a former senior employee, whom the bank
previously obtained a default judgment against, and benefited from a
$2.75 million loan to purchase a property in Cascade.
The exact compensation to be paid by Rojas is expected to be assessed
by Justice Seepersad after further legal submissions.
In October 2023, the bank filed the lawsuit against former employees
Randy Gottsleben, Rojas, Sankar, Rambarran, Rampersad,
Ramsaroop, Gottsleben’s partner Ramsingh, Arnold Ramjass Auto
Mechanical & Painting Garage, Ceylon Marketing Ltd, Joalex Auto Ltd,
Miva Import Export Consultancy Ltd, Diamond Conceptions Company
Ltd, and It’s A Deal Ltd.
The bank launched an investigation after its director, Larry Howai,
received a letter from a whistleblower alleging misconduct.
The initial investigation found that there were loan transactions not
in accordance with company policy.
A wider investigation was done at the Chaguanas branch of the bank
where the discrepancies were found, and a conspiracy was allegedly
uncovered where the bank sustained losses of almost $30 million in
two and a half years involving 35 vehicles and properties.
In the lawsuit, the bank alleged that its former employees and the
companies engaged in a conspiracy to present fraudulent documents
and make fraudulent representations to help secure loans.
The bank obtained default judgments, totalling $20 million, against
Gottsleben and the companies after they failed to properly defend the
case.
Justice Seepersad found Rojas culpable, as he noted that he should
have recognised issues with the supporting documents for the loans
if he was honestly discharging his duties.
“Several of the impugned transactions displayed irregular
coincidences, as many of the applicants were relatively young, had no
proof of significant educational qualifications, and worked for the
same companies, and they all earned unusually high salaries,” Justice
Seepersad said.
“This defendant either authored or facilitated or condoned the acts of
manipulation and deceit, which were crafted by or for the roll-on
roll-off dealers to mislead the claimant, and, on a balance of
probabilities, this court finds that it is more likely than not that the
fact Rojas failed to identify and flag the multiplicity of errors in the
job letters and the certified extractssuggests that he was knowingly
part of a fraudulent design which was executed to obtain funds from
the claimant,” he added.
He also noted that Rojas admitted that he was friends with officials of
the dealers and that they would lime at bars in central Trinidad.
Dealing with Rojas’ co-workers, Justice Seepersad noted that there
was insufficient evidence presented by the bank to prove their
involvement in the conspiracy, as their participation came after the
loans were essentially approved and was relatively minor.
Justice Seepersad also criticised the bank for failing to bring key
senior officials to testify in the case over how the fraudulent
transactions were not detected.
Describing their absence from the case as “striking” and “deeply
curious”, Justice Seepersad said, “These senior officials were central
figures in the chain of decision-making process and their evidence
would have been helpful, as they were poised to clarify how these
loans were vetted, approved, and disbursed.”
Dealing with the claim against Ramsingh, Justice Seepersad noted
that there was no evidence to prove she was part of the conspiracy
besides her relationship with Gottsleben. He also noted that the
property was seized and sold by the bank in order to recoup the
balance on the loan.
Justice Seepersad advised the bank that it should improve its internal
systems to prevent a recurrence of the fraud.
He directed that his judgment be sent to the Director of Public
Prosecutions and the Commissioner of Police for a criminal probe to
be launched.
Bank’s response
In a release yesterday, the bank responded to the ruling saying: ANSA
Bank “acknowledges today’s ruling of the High Court.
We believe this judgment represents a victory not only for ANSA
Bank, but for Trinidad and Tobago, as the court has confirmed that
fraudulent acts and related conspiracy will be brought to justice. We
thank the Honourable Court for its thorough consideration of this
matter.
The pursuit of this judgment reflects our commitment to maintaining
the highest standards of integrity and accountability across all areas
of our operations.
At ANSA Bank, we have developed systems guided by international
best practice aimed at strengthening our internal controls and
oversight mechanisms, that are robust and resilient.
We remain fully dedicated to protecting our customers, our
employees and the financial system of Trinidad and Tobago.
We will continue to cooperate with all relevant authorities as
required.”
Photo - Justice Frank Seepersad/