Three vehicles were seized from the bankrupt CLICO (Guyana) yesterday as a marshal enforced a High Court ruling which almost saw the arrest of the company’s Assistant Manager Geeta Singh-Knight as she attempted to prevent the seizure.
A visibly upset Singh-Knight, fingers pointing, was forced to scamper back into the company’s Camp Street building after the court marshal instructed the lone police officer on hand to arrest her and firmly informed her that she was only following the law and executing a court order.
The High Court had agreed to an application to levy on the vehicles in September 2008, months before the company was placed under judicial management in February last, after A.H & L. Kissoon Ltd moved against it and several other insurance companies following their delay in honouring insurance claims when the Park Hotel on Main Street went up in flames in 2001.
The Kissoon Group of Companies was represented by Senior Counsel Rex McKay and on September 11, 2008, Justice William Ramlal issued the order, after the lawyers for all the companies consented, ordering that some $146.1 million be paid to A.H. and L. Kissoon together with interest of 6% per annum from June 4th 2001 to the date of the order. The CLICO portion without interest was $56.9M.
The move by Kissoon’s comes at a time when most of CLICO’s assets are tied up in legal wrangling.
‘Arrest this woman!’
When the marshal, police officer, and some employees from McKay’s office arrived at the location, RK security guards initially attempted to keep them out but later allowed them into the compound. Told of their intentions Singh-Knight refused to hand over the keys to the three vehicles, PKK 669, PKK 6472 and PJJ 2579 and as such a towing company was then called in to remove them.
But even as this was being done Singh-Knight began to dial phone numbers on her cellular phone and she later returned to the marshal and informed her that a Mr Brassington wanted to speak to her but the marshal stood her ground and loudly stated that she wanted to speak to no one as she was just carrying out the mandate of the law.
Singh-Knight returned to the building but once again exited it in a fury and loudly instructed the security guards to lock the gates.
“Lock those gates! Lock those gates!” she shouted even as the guards stood around and refused to lock the gates.
The marshal then questioned Singh-Knight as to which gates she was instructing be closed and informed her that she was on the wrong side of the law to issue such an order.
“Arrest this woman! Arrest this woman!” the marshal instructed the police officer but by this time Singh-Knight had spun around and gone back into the building. She still instructed those who were removing one of the vehicles not to “touch those vehicles.”
Soon after, owner of the RK Security Service, Roshan Khan, arrived on the scene and when told that a court order was being enforced by consent said “well if it is a court order court order must be followed.” He also entered the building and soon after returned while speaking on his mobile phone and asked to see the court order. He informed whoever was on the other line what it said.
He also told the lone police officer that Mr Greene, meaning Commissioner Henry Greene, had said that they should hold for a while but the marshal again interjected and said she was not holding and ordered that the removal continue.
In the end all three vehicles were removed but not before several police officers swooped on the scene, some armed with guns, and informed that they were investigating a report of a breach of the peace. The vehicles were allowed to leave and the officer in charge of the visiting policemen spoke to Singh-Knight and they later left.
Stabroek News understands that the registration information on one of the more expensive vehicles owned by the company, said to be in the possession of Singh-Knight could not be found and as such the vehicle could not be removed from the compound where it was parked,
CLICO (Guyana) fell on hard times when its US$34 million investment in CLICO (Bahamas) was found to be tied up in real estate in Florida. CLICO (Guyana) was placed under judicial management on February 25 after CLICO (Bahamas) was put into liquidation. The sum of money invested by CLICO (Guyana) in the Bahamian company represented 53% of the local company’s assets, which put CLICO (Guyana’s) liquidity under enormous strain. Guyana is currently trying to retrieve this investment from CLICO (Bahamas).
The local company came under severe scrutiny after its Trinidad-based parent company C L Financial had to be bailed out by the Trinidad government at the end of January. CLICO (Guyana) had initially said it was immunized from the problems of its parent company. There was however a run on it and this led to a drying up of liquidity. It was finally put under judicial management when its sister company in The Bahamas was put into liquidation. A similar application has been made here by the Insurance Commissioner but it is being challenged by representatives of the company. Several matters were consolidated and are being heard before Chief Justice Ian Chang.
Hundreds of investors in CLICO and those on pension plans are still awaiting word on when they will recover their monies. The Government of Guyana has said it will guarantee all the sums that CLICO (Guyana) has outstanding. (Oluatoyin Alleyne)
