News Americas, New York, NY, Tues. Sept. 24, 2024: The Jamaica Financial Services Commission, (FSC), has announced that Stocks and Securities Limited, (SSL), will soon begin distributing an estimated US$30 million to clients who have been waiting for over a year to recover their investments.
Olympic champion Usain Bolt was among those who lost money.
In a statement, the FSC confirmed that SSL is making significant progress in its plans to compensate its clients, based on the latest information from the trustees overseeing the company’s affairs.
Proceeds from SSL’s Client Portfolio
The payout will be primarily sourced from the sale of SSL’s international securities client portfolio, valued at over US$30 million. SSL has been embroiled in a fraud scandal since January 2023, leading to multiple lawsuits and court cases that have challenged the control of the firm.
The Ongoing Fraud Investigation
The scandal, which rocked Jamaica’s financial sector, has involved a multi-billion-dollar fraud investigation, affecting several clients, including Olympic champion Usain Bolt, who reportedly lost more than US$12 million. In response, the Jamaican government enlisted the help of the U.S. Federal Bureau of Investigation (FBI) to assist local authorities in the investigation.
Changes in SSL Management
After temporarily taking over SSL’s management, the FSC lost control in May 2024 when Justice David Batts ruled in favor of Caydion Campbell, who had been appointed trustee of SSL by the company’s former board of directors. The case is set to return to court this week.
FSC’s Oversight and Compliance Measures
The FSC has maintained its regulatory oversight of SSL and issued directives on July 31, 2024, requiring SSL to provide regular updates on its operations, including the status of payouts to clients. These measures aim to enforce transparency and accountability during the company’s winding-up process.
“The FSC continues to ensure that SSL complies with the legal and regulatory framework under the Securities Act,” said FSC Executive Director, Lieutenant Colonel Keron Burrell. He emphasized that the Commission is focused on safeguarding SSL’s clients and maintaining the integrity of the financial system.
Ongoing Supervision and Law Enforcement Collaboration
The FSC reiterated its commitment to protecting SSL investors and ensuring that the firm meets its obligations in a timely and transparent manner. In collaboration with law enforcement agencies, the FSC is working to complete a thorough investigation into the alleged fraud and any improprieties at SSL.
“The Commission assures all stakeholders that it remains dedicated to maintaining transparency throughout this process and will provide updates as necessary,” Burrell added.
