The Trinidad and Tobago government Wednesday said that the C.L. Financial Group, the parent company of the troubled insurance giant, Colonial Life Insurance Company (CLICO), still owes billions of dollars (One TT dollar=US$0.016 cents) following its collapse in 2009.
“As of September 30, 2019, CLICO has repaid a total of TT$14.9 billion including interest in the amount of TT$2.5 billion. As of September 30, 2019, the amount still outstanding by the CL Financial Group and its subsidiaries is TT$8.1 billion plus legal fees, interest and other costs of which CLICO outstanding debt is TT$3.9 billion inclusive of interests,” Finance Minister Colm Imbert told Parliament.
Imbert told legislators that injections into CLICO to protect traditional policy holders amounted to TT$5.5 billion, while injections into British American Insurance was estimated at just over TT$872 million.
He said payments to CLICO short term investment products was over TT$10.8 billion, while the payments to British American was estimated at TTT$765.7 million.
The Finance Minister said payments made to CLICO Investment Bank (CIB) depositors were just over TT$1.8 billion, and the payment to First Citizens Investment Services stood to protect Caribbean Money Market Brokers (CMMB) investors was TT$731.1 million.
He told legislators that the liquidator of British American to acquire a promissory note was just over TT$334.9 million and that the interest on financing cost up to the April 2016 was TT$2.6 billion.
He said as a result, the total owed by CL Financial group y was TT$23.1 billion, adding that this figure does not include other costs such as advisor and legal fees incurred by the government.
“Of the total TT$23.1 billion, the debt owed to the government by CLICO was TT$18.085 billion inclusive of interest of TT$2.29 billion. To date, the only member of the CL Financial Group that has repaid money to the government is CLICO,” he added.
In March this year, the government denied involvement in the operations of the financially strapped insurance company saying that it had ended all involvement with CLICO since 2017.