⁠$15b in Stocks, $600m in Cash Returned to Former SSL Clients

The Ministry of Finance says more than $15 billion in securities and over $600 million in cash have been returned to former clients of scandal hit investment firm, Stocks and Securities Limited, SSL.

The ministry provided the update in a release to the media Wednesday morning.

Daina Davy reports.

Following the multi-billion dollar fraud at SSL, the Financial Services Commission appointed the Kenneth Tomlinson-led Business Recovery Service Limited as temporary manager of the entity.

In September 2023, the temporary manager began overseeing efforts to transfer out the remaining balances for thousands of clients of the investment firm.

In its update today, the Ministry of Finance says that as at April 16, 2024, 1,230 client accounts totaling approximately $15.7 billion of local equity and fixed income securities were transferred to accounts specified by these clients.

The finance ministry also disclosed that cash of approximately $665 million for 338 clients, has been paid over to them.

According to the ministry, the current state of transfers means a total of 16 billion or approximately 70 per cent of Jamaican dollar denominated assets held in SSL’s off-balance sheet portfolio have now been transferred to clients.

The Jamaican dollar denominated assets include Jamaican equity and fixed income securities and Jamaican dollar cash.

In relation to the remaining Jamaican dollar securities, totalling $7.6 billion in value, the ministry says the temporary manager is pursuing an agreement with a trust company for the en bloc transfer on behalf of clients.

It says more details will be provided once the agreement is finalised.

And, the ministry has indicated that phase two of the process, which relates to overseas securities, is underway.

It says prior to April 11, 2024, the portfolio of international equity, fixed income and other securities held by SSL on behalf of clients, totalled approximately US $32.8 million.

The ministry says that as at April 11, 2024, 98 per cent of this international portfolio had been liquidated.

It says in relation to these international securities, the funds will be remitted directly to clients based on their instructions once accounts have been reconciled.

Tomlinson is encouraging clients to provide their banking details.

He says clients should indicate their bank name and branch, name or names on the account, account types and numbers, and their routing number or intermediary banking details.

Mr. Tomlinson is emphasising that payments will only be made to account holders and third-party transactions will not be executed.