Antigua and Barbuda’s Prime Minister Gaston Browne said that he is not at all surprised by the Caribbean Court of Justice’s recent decision to dismiss an $800 million lawsuit against the government of Trinidad and Tobago, brought by former policyholders of the defunct British American Insurance Company (BAICO).
This case involved policyholders in Antigua and Barbuda and Grenada. It was filed under the court’s original jurisdiction, which allows it to address disputes among member states under the Revised Treaty of Chaguaramas. The case revolved around claims that Trinidad and Tobago’s financial support to certain subsidiaries of CL Financial Limited (the parent company of BAICO) was discriminatory.
Policyholders argued that this bailout, aimed at stabilizing the local financial system, unfairly overlooked BAICO policyholders outside Trinidad and Tobago. Following the collapse of CL Financial in 2009, the Trinidad and Tobago government took decisive action to support its locally registered subsidiaries, including CLICO and BAICO’s operations in Trinidad. However, this assistance did not extend to policyholders in other CARICOM member states, resulting in considerable dissatisfaction.
Chief Justice Adrian Saunders provided a comprehensive judgment addressing the government’s actions, affirming that the financial assistance given to CL Financial and its subsidiaries was consistent with the exceptions outlined in Article 32 of the Revised Treaty of Chaguaramas.
The court recognized these actions as a legitimate exercise of authority aimed at mitigating the economic hardships caused by the collapse, on the local population. In contrast, the policyholders alleged that the Trinidad and Tobago government violated several articles of the Revised Treaty, particularly Articles 36, 37, 38, and 184, which deal with discrimination and consumer protection.
Nevertheless, the court deemed these claims unsubstantiated, concluding that the government’s actions did not breach the treaty’s competition policy and consumer protection provisions.
I’d have liked to know what his views were if it was fair or not. It doesnt seem fair to me that only those in Trinidad were protected. However, I’ve long come to the conclusion that insurance is nothing more than a scam. They will sell you full comprehensive insurance, charge you for it, give you a receipt, but if something happens to you, they will say “your vehicle was too old, it wasnt supposed to have been full it should have been X we cant cover that.”
Gaston Browne has no moral authority to speak on the BAICO issue. NONE! This guy is a heartless renegade. The beleaguered former LIAT workers, some who worked for up to thirty plus (30+) years, were sent home without as much as 1 cent.
These former LIAT workers are facing severe financial embarrassment. Some have died and gone to the Great Beyond wth broken hearts. What BAICO has done is inexcusable, but it pales in comparison to what soiled Brown Paperbag has meted out to innocent people.
To Gaston:
“You hypocrite, first take the plank out of your own eye, and then you will see clearly to remove the speck from your brother’s eye.”
I lay blame at the feet of the governments of the OECS countries where BAICO operated. Because of lax due diligence the company was able to dupe their clients. These companies are to be rigorously monitored as they believe small island people have small brains.
This clearly shows that the administrations in every one of these jurisdictions have little or no concern for the wellbeing of their own people. Foreigners had precedence over the indigenous people.