Following calls by the Political Leader of the United Progressive Party for answers into allegations that an Antigua-based offshore bank is being sued by a client, the Global Bank of Commerce, Ltd. has released a statement on the matter.
The Bank and its Chief Executive Officer are being sued by a Jolly Harbour resident and his associated business.
According to the document filed in the High Court of Justice on June 27, 2022, the claimant wants the bank to pay sums amounting to more than £2.6 million and US $9.1 million, or the equivalent in Eastern Caribbean dollars, in respect of deposits he made.
After the lawsuit became public, fears about the Bank’s solvency were expressed by persons in the financial sector. Further, because its Chief Executive Officer has been linked to a domestic commercial bank, there was additional speculation about ties between the two institutions.
The media release acknowledges that Global Bank’s board of directors and management are aware of a news article, related reports and subsequent public remarks concerning the legal issue.
Accordingly, the Bank is asserting that it is not connected to the management and operations of any domestic commercial bank in Antigua and Barbuda, adding that “any public assertions to the contrary (are) misleading and incorrect.”
Further, it says that no domestic financial institution is connected in any way to the case now before the Eastern Caribbean Supreme Court.
Since the matter is before the Court, the details of the lawsuit cannot be discussed publicly, the release notes. However, Global Bank is assuring the public that the integrity of the financial institution and its 40-year participation and contribution to the international banking sector remain fully intact.
It claims that the Bank remains in good standing, as regulated by the Financial Services Regulatory Commission (FSRC).
Therefore, Global Bank is apologizing to its “valued and loyal clients,” saying it regrets any inconveniences caused by the hasty dissemination of information in respect of the lawsuit.
Last week, in light of the various rumours and speculation surrounding the suit, Harold Lovell had urged the authorities to clear the air on the matter, since a bank in trouble benefits no one.
However, some members of the public are dismissing the Bank’s response, referring to it as a “bunch of fluff” that does not answer any meaningful question about the allegations.