On matters of the Building and Loan Association

Tue Feb 19, 2013

How on earth did this matter pertaining to the St Vincent Building and Loan Association evolve into a political issue? The absurdity of Caribbean politics never ceases to amaze me! It somehow finds its way into every aspect of our existence, even when and where it is bound to prove itself counter-productive.{{more}}

The issue at hand is one that can potentially compromise the stability of our nation’s financial sector. Can someone therefore please whisper to their neighbour that it is absolutely inappropriate to be making any attempts at scoring political points on this matter at this point in time?

If this message weighs on you or your neighbour’s conscience, then it is possibly a call for you to reconsider this matter for what it truly represents. Our common goal here should be the recovery and strengthening of the St Vincent Building and Loan Association – simply that.

The local media has a central role to play in the eventual resolution of this matter. The time has thus come for media houses across St Vincent and the Grenadines to take a stance. It is time to start getting to the bottom of this issue. I challenge the local media to find the experts and speak to them. Get the facts, and reveal them. We already have something of an idea as to the status quo of the institution – although I would personally like to know more. At this point, shareholders are in need of clear and unbiased answers as to what the recovery and eventual strengthening of the institution demands.

Enough with these reports on the sideshows being put on by our politicians. I admit that they are often entertaining, but by no means edifying to any of us, nor beneficial to the cause at hand. We must ensure the survival of the St Vincent Building and Loan Association.

Many have thus far suggested that a letter written by my colleague Luke Browne would have been the primary cause for the most recent requests for account closures at the Association. Some may even interpret this as Luke’s letter being the cause of this whole fiasco. “Irresponsible” they’ve deemed his actions. I beg to differ.

There is no doubt that Luke’s letter has thus far triggered some unfavourable debates and sideshows – no fault of his really. However, after much thought and consideration of the facts at hand, I have come to my own conclusion on the issue.

The Association had been experiencing major financial problems long before Luke’s letter was written. Speculations to this end would have somehow filtered heavily into the public domain, thus leading to shareholders losing confidence in the institution a long time ago. Such problems were never addressed, and no actions were ever taken by the relevant authorities – possibly due to the absence of such mechanisms prior to the Financial Services Authority (FSA) and its supporting legislation.

The records now show that substantial irregularities have long existed within the Association, and a significant run on the institution dates back to 2009. My firm stance on the matter is that any local financial institution that proves itself to be as vulnerable as the St Vincent Building and Loan Association has sadly proven itself to be deserves to be exposed. It is deceptive and unjust – criminal in fact – to keep such details hidden from shareholders for such a long time without seeking to adequately address them.

So, are we still pointing fingers at Luke? Are we still calling for action to be taken against the young man? Such would indeed set a bad precedent – especially at a time when our nation’s youth are being called to speak out on national issues. It would suggest that we speak up and and speak out, but avoid speaking on certain critical issues – issues that would inevitably affect us.

I hereby encourage Luke – and the many other young progressive voices across the Caribbean – to keep speaking. I admonish you all – as I daily admonish myself – to consider your battles carefully with both prayer and research, but never back down where justice and freedom are at stake.

It is my fervent prayer, that the St Vincent Building and Loan Association be re-established as a prototype indigenous financial institution – one that all Vincentians can be truly proud of.

by Jamal Browne