KINGSTON, Jamaica – The Financial Services Commission (FSC), says the embattled Stocks and Securities Limited (SSL) will pay out an estimated US$30 million to its clients who have been waiting more than one year to collect on their investments.
Stocks and Securities Limited (SSL)In a statement, the FSC said based on the latest information provided by the SSL trustees, the company is advanced in its plans to make a payout to its clients.
It said the payout will be primarily from the proceeds of the sale of SSL’s international securities client portfolio, valued in excess of US$30 million.
SSL has been embroiled in a fraud scandal since January 2023 which has seen multiple lawsuits and court cases to determine control of the firm.
Last year, the Jamaica government announced that the Federal Bureau of Investigation (FBI) in the United States would be assisting local investigators in their probe into the alleged multi-billion fraud at SSL that has affected several clients, including eight-time Olympic champion Usain Bolt who is said to have lost more than US$12 million.
The FSC assumed temporary management of SSL but lost control at the end of May when Justice David Batts ruled in favour of Caydion Campbell who was appointed trustee of SSL by its former board of directors. The matter returns to court this week.
In the statement, the FSC said that it continues its active regulation of SSL with a focus on ensuring that the company strictly adheres to the requirements set forth in the Securities Act.
“The FSC has issued directions to SSL, dated July 31, 2024, which require SSL to provide periodic updates. These directions are designed to enforce transparency and accountability during the winding-up process of SSL.
“A key aspect of these directions is the requirement for SSL to provide the FSC with periodic updates on, among other things, the status of payouts to clients,” the FSC said, adding that to ensure full compliance with the directions, it will be closely monitoring SSL’s actions throughout this process.
The FSC said it has taken steps to safeguard the interests of SSL’s clients and maintain the integrity of the financial system, as part of its ongoing supervision.
“The FSC remains resolute in its mission to facilitate the fair treatment of SSL investors. This vigilant oversight is crucial to ensuring that SSL meets its obligations to clients in a timely and transparent manner, in alignment with the legal and regulatory framework established by the Securities Act,” said FSC executive director, Lieutenant Colonel Keron Burrell.
The FSC said that it is continuing its collaboration with law enforcement agencies to ensure the pursuit and successful completion of thorough investigations regarding any improprieties at SSL.
“The Commission assures all stakeholders that it is dedicated to maintaining transparency and accountability throughout this process and will provide further updates as necessary,” added Burrell.
