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Cash Plus gets stay of cease and desist order
. But under onerous termsPAUL HENRY, Observer staff reporter
henryp@jamaicaobserver.com
Thursday, January 17, 2008
THE Supreme Court yesterday granted a stay of the cease and desist order issued to Cash Plus Limited by the Financial Services Commission (FSC) last December but with "onerous" terms and conditions which the alternative investment player plans to appeal.
The terms and conditions imposed by Justice Patrick Brooks are that Cash Plus not accept any new members; that it forwards a list of its current members to the Registrar of the Supreme Court by February 8; and that it accepts no further investments from current members. (It was agreed that the membership list would be kept sealed.)
The stay of the cease and desist order will be in effect until or either an appeal filed by Cash Plus on January 10 against the order is heard, or the matter concerning whether the entity should be regulated by the FSC is determined. That matter is to commence on January 23.
Yesterday, lead attorney for Cash Plus, K D Knight, of the law firm Knight Junior and Samuels, said the conditions would be appealed shortly.
"Some of the conditions are onerous and prevent Cash Plus from carrying out its normal business. .We expected that Cash Plus would have been able to deal with its clients [unhindered]," Knight said.
The FSC on December 29 issued the orders against Cash Plus and Carlos Hill, the principal director of the company. The FSC said the orders were necessary as the entity had been illegally trading in securities without the required licence.
In the meantime, Cash Plus is to appear in the Court of Appeal today when it will be determined whether or not the National Commercial Bank should have the right to close the alternative investment scheme's 16 accounts.
. But under onerous termsPAUL HENRY, Observer staff reporter
henryp@jamaicaobserver.com
Thursday, January 17, 2008
THE Supreme Court yesterday granted a stay of the cease and desist order issued to Cash Plus Limited by the Financial Services Commission (FSC) last December but with "onerous" terms and conditions which the alternative investment player plans to appeal.
The terms and conditions imposed by Justice Patrick Brooks are that Cash Plus not accept any new members; that it forwards a list of its current members to the Registrar of the Supreme Court by February 8; and that it accepts no further investments from current members. (It was agreed that the membership list would be kept sealed.)
The stay of the cease and desist order will be in effect until or either an appeal filed by Cash Plus on January 10 against the order is heard, or the matter concerning whether the entity should be regulated by the FSC is determined. That matter is to commence on January 23.
Yesterday, lead attorney for Cash Plus, K D Knight, of the law firm Knight Junior and Samuels, said the conditions would be appealed shortly.
"Some of the conditions are onerous and prevent Cash Plus from carrying out its normal business. .We expected that Cash Plus would have been able to deal with its clients [unhindered]," Knight said.
The FSC on December 29 issued the orders against Cash Plus and Carlos Hill, the principal director of the company. The FSC said the orders were necessary as the entity had been illegally trading in securities without the required licence.
In the meantime, Cash Plus is to appear in the Court of Appeal today when it will be determined whether or not the National Commercial Bank should have the right to close the alternative investment scheme's 16 accounts.
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