This morning Glen Smith – the country manager for First Caribbean International Bank appeared in Magistrate’s Court to answer to 113 counts of failing to report a suspicious transaction. As we’ve been reporting, the charges are part of the Financial Intelligence Unit’s investigation into BTL’s illegal trading of currency on the black market. Between 2001 and 2005, the phone company is alleged to have changed US$100 million in that fashion. The allegation is that First Caribbean Bank failed to report 113 suspicious transactions in violation of the Money Laundering Act.
In the interest of time, this morning Chief Magistrate Margaret McKenzie only read one of the 113 charges. It alleges that on 30th January 2004, First Caribbean cashed a check for $300,000 which was issued by BTL to Gaspar Aguilar which amounted to a suspicious transaction which the bank wilfully failed to advise the FIU. Like we said that’s just one charge, the other 112 are said to be for amounts in the same ball park.
Country Manager Glen Smith pleaded not guilty to all 113.
And while First Caribbean’s current manager has to answer to the charges - the transactions took place during the tenure of the bank’s former manager Steve Duncan. We ran down both men for comment this morning.
Keith Swift,
Sir we know you were the country manager at the time these transactions were conducted. Any comments?
Steve Duncan, Former Country Manager – FCIB
“I am no longer authorized to talk for the bank. I am not going to respond on behalf of the bank at this stage. The bank needs to do its thing, the bank will try its case in court, and it will answer the charges. Let the process work.”
Keith Swift,
As the current country manager, what is the bank’s response to these charges?
Glen Smith, Country Manager – FCIB
“Basically we have no comments, sufficient to say that the bank will vigorously defend its good name and its brand.”
Keith Swift,
How embarrassing is this for the First Caribbean Bank which is the largest bank in the Caribbean?
Glen Smith,
“It is not a question of embarrassment, we will just defend our good name and our brand within Belize.”
Keith Swift,
How much of a black eye is this to the bank, to even be accused of 113 counts of violating the Money Laundering Act?
Glen Smith,
“Well it is a hazard of doing business but I guess I’ve answered that question already before. We will defend our good name and we are very confident in the justice system in Belize that we will be vindicated.”
The bank is defended by senior counsels Derek Courtenay and Ellis Arnold. The case was adjourned until September 4th which is when Chief Magistrate McKenzie has ordered disclosure to the defense. Courtenay requested a speedy trial because
he told the Chief Magistrate that the charges are serious, will affect the bank, and potentially damage its image. So does the FIU have a case? Well we tried to find out from its attorney B.Q. Pitts.
Keith Swift,
What is the amount of money the FIU is claiming was involved?
B.Q. Pitts, Attorney for Financial Intelligence Unit
“It is in the millions. It will take some counting. I cannot give you the exact figure but it is in the millions.”
Keith Swift,
How strong do you think is the case against First Caribbean?
B.Q. Pitts,
“I do not discuss my cases out of court. I fight them in the court. If you want to hear it, you can go there and you will get all the details, facts, figures, circumstances. I don’t say much more than that, we don’t try cases out of court.”
Again the case has been adjourned to September 4th the date for disclosure. The Belize Bank has similarly been charged for 79 counts failing to report a suspicious transaction under the Money Laundering Act.
