Efforts to recapitalize the Global Bank of Commerce (GBC) are underway, according to sources interested in its current “under Administration” status; but there are concerns about the source of fresh funds and the impact it could have on correspondent banking relations.
The sources tell REAL News that a report from the Administrator was completed and submitted to the Financial Regulatory Services Commission (FSRC) – and that the Regulators, after a review, have agreed to the recapitalization of the bank.
While the process is being worked out, GBC remains under Administration, the insiders report, with no incoming or outgoing financial transactions allowed.
Concerns about this cash injection centre around suspicions that the source might be Fancy Bridge Ltd., a business based in Hong Kong.
That entity, known to be a 24% shareholder in the West Indies Oil Company (WIOC), has been an object of curiosity for some time now, as its principal, Xiao Jinhua, reportedly is in prison in China.
The Government has never disclosed how Fancy Bridge continues to operate in Xiao’s absence. However, based on comments made by Browne in Parliament, it appears there is a local office that receives the Fancy Bridge dividends from the WIOC holdings – and some persons suspect these funds to be under the control of certain Cabinet members.
The larger concern, however, is whether the possible ownership of GBC by a convicted Chinese investor will have an effect on the commercial banks’ arrangements with US correspondent institutions.
The US authorities are already investigating the operations of WIOC – which, in addition to Fancy Bridge’s stake, had sold 25% of its shareholdings to the Government of Venezuela.
It was just two weeks ago that the United States announced it would revoke travel privileges for 26 officials in this region on account of these persons and countries working against US economic interests in this hemisphere.
With passport sanctions already in place against Antigua and Barbuda nationals, there are shivers running down the spine of the business community and other residents, who fear sanctions being widened to include correspondent-banking arrangements.
In November 2025, the pioneering GBC went into Administration after 42 years of operation, having run into severe financial difficulties.
The extent of its problems came to light when a Canadian investor took the bank and its chief executive officer, Brian Stuart-Young, to court over his inability to withdraw funds held in a US-dollar account and a pound sterling account.
The matter turned ugly when Finance Minister Gaston Browne entered the fray, accusing depositor Jack Stroll of being greedy for wanting his money – which, Browne said, was tied up in national development.
An earlier agreement with the Browne Administration to reimburse the depositor via the redemption of Government Treasury Bills had not been honoured.
Since then, the High Court has ordered the repayment of funds in tranches – with threats of jail time for Stuart-Young if he failed to comply – but the letter of the law was not followed even then, Stroll has contended.
The legal matter remains unresolved at present, with a shocking turn of events earlier this month: The presiding judge recused himself, citing personal – but unexplained – reasons.
Accordingly, the case has been put back to allow a new presiding officer to familiarize himself with the details.
