Latest update January 17th, 2025 6:30 AM
NBS CEO wrongful dismissal suit… Court awards termination severance, pension
Justice Brassington Reynolds yesterday made a determination on the sums to be awarded to former Chief Executive Officer, (CEO) of the New Building Society, (NBS), Maurice Arjoon.
Maurice Arjoon
Arjoon was on the verge of retiring when fraud charges against him were instituted. He was dismissed from NBS, thus losing his pension and other benefits.
He was eventually exonerated of the charges. The man therefore sued NBS for wrongful dismissal and for withholding his pension.
The case dragged on for in excess of six years in the Court and after months of delay in providing a judgment, the Court finally ruled on Monday.
In his judgment yesterday, Justice Reynolds stipulated the amounts awarded are in accordance with the Termination and Severance Pay Act (TESPA).
Yesterday, the judge’s order detailed a calculated pension due and payable for the past 10 years; monthly pension; pay in lieu of notice – Clause 10 of the Contract; and severance benefits.
Arjoon had initially sued the Society for damages for wrongful dismissal and a breach of contract. Asked whether they were satisfied with the judgment and a computation of the amount by the Court, the Arjoons briefly said that they are no longer able to fight this evil Injustice and will accept the payment stipulated by the judge.
The Court ruling handed down by Justice Reynolds stipulated that Arjoon was wrongfully dismissed, but did not stipulate an amount for which Arjoon should be compensated. The former Executive Director had sued for some $550 million worth in damages but could not be present for Monday’s hearing, reportedly due to his ill health.
Arjoon’s lawyer Edward Luckhoo SC, had therefore requested that the Court make a calculation of the award. He noted that it should not be left to opposing parties to determine such figures.
On Monday the Court had essentially ruled that Arjoon suffered as a result of wrongful dismissal from NBS and should be compensated financially. The Judge also determined that the former executive is entitled to his pension, and severance benefits stipulated by law.
Back in 2007, Arjoon was accused of conspiracy to defraud the NBS of $69M along with Kissoon Baldeo, 38, of 86 Zeeburg, West Coast Demerara (Assistant Mortgage Manager of NBS) and Kent Vincent of 1247 Canje Pheasant Lane, South Ruimveldt (Operations Manager). They had faced a trial in the Magistrates’ Court.
That matter was later dismissed for lack of evidence. The former CEO claimed that he was framed after he refused to illegally endorse the lending of $2B, in 2006; moved to sue NBS for wrongful termination of his contract.
A report by the Ombudsman had outlined that Arjoon’s decision to only lend an amount in keeping with Guyana’s financial laws, apparently angered former President, Bharrat Jagdeo, who allegedly threatened to deal with the CEO.
Similar Articles
THE BLUNT OF THE DAY
Sports
Features/Columnists
No conflict of interest exists
Peeping Tom… Kaieteur News- Accusations of conflict of interest have a peculiar way of rising to the surface in Guyana.... more
Clarifying misconceptions about the Panama Canal
Sir Ronald Sanders (Antigua and Barbuda’s Ambassador to the US and the OAS) By Sir Ronald Sanders Kaieteur News–... more
Weekend Cartoon
