Standoff at NBS over court judgment…Managers, guards arrested as mortgage giant forced to pay $59M to sacked CEO

Jan 24, 2018 News

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– customers, Court Marshals, lawyer locked in building for several hours

It was a case that should have never been.
A former chief and two senior managers were in 2007 arrested and charged in a high-profile case for allegedly stealing $69M from the mortgage entity. Those charges should never have been brought against the individuals, the then-Ombudsman Justice Winston Moore decided a few years ago after Maurice Arjoon, and his two managers, Kissoon Baldeo and Kent Vincent, were both freed in the magistrates’ court’.
In fact, the Ombudsman, who investigated Arjoon’s complaint of being framed, made it clear that something was fishy about the charges and the men should explore private action.
Arjoon claimed that he was framed because he refused to allow a request of former President Bharrat Jagdeo, to sink $2B of NBS funds into the Berbice River Bridge, which was being configured at the time. Arjoon said that the transaction would have been illegal.
Last July, after years of battle in the High Court for his outstanding pension and benefits, Arjoon was awarded $79M by Justice Brassington Reynolds.

The troubles of former NBS chief, however, were far from over. He not only lost his youngest son, who could not take the heartbreak, but the family had to face the shame earlier on, of the finger-pointing.
An attempt to collect the monies was rebuffed by NBS and its lawyers, who received a legal order to stay the judgement. However, in December last, Justice Rishi Persaud, reducing the $79M to $59M, pending a number of procedures, paved the way for Arjoon, to be paid.
Since December, NBS refused to pay and it all came to a head in a dramatic way yesterday.
In the evening, it ended up with a once-highly respected mortgage lending facility, the largest in the country, not only being forced to pay over the monies yesterday after a five-hour standoff, but with lawyers, customers, and reportedly a policeman being locked in the headquarters.
The unusual incident attracted a huge crowd, with media operatives waiting expectantly in front.
According to Ganesh Hira, a lawyer who is married to Gina, daughter of the former CEO, who has taken up the fight with attorney-at-law Sanjeev Datadin, shortly after midday, he and a team of Court Marshals went to NBS.
The marshals managed to seize a Nissan X-trail owned by the bank and this was whisked away.
At the Avenue of Republic office, Hira said he indicated that he wanted to talk to managers but was rebuffed several times. Eventually, he realized that the entity had locked its doors.

Inside, not only were customers left stranded – with angry ones also outside – but a Court Marshal and a cop too were on the wrong side of the door for hours. Among the customers were freelance media photographer, Joseph Allen.
Outside, prominent lawyer Ralph Ramkarran, along with NBS counsel, Pauline Chase, were among those that arrived to diffuse a situation that threatened to escalate.
Chase later indicated that she was surprised at the developments, as NBS has filed action appealing Justice Persaud’s decision made in December.
However, Arjoon’s lawyer insisted that there was nothing legally barring them to levy on NBS properties in the absence of the mortgage facility paying over the monies due.
The police at one time yesterday contemplated breaking the doors, with the stopping of a Court Marshal from doing his or her work deemed highly illegal.
NBS claimed it was securing its cash before allowing anyone in or out.
Datadin told reporters that NBS has opened itself to contempt proceedings and other criminal charges.
Arriving on scene also was former Crime Chief Wendell Blanhum and other senior cops.
It was an unusual situation.

Shortly after 3pm, NBS opened its back gates and customers who were clamouring to be let loose, managed to quickly exit, away from the glare of the cameras.
Detectives, senior police officials and lawyers were subsequently allowed to enter.
At 5pm, at least two security guards, who reportedly had stopped persons from entering or leaving the entity, were placed in a police prison van. Another guard was detained from the back entrance area, and they were all eventually taken away to Brickdam Police Station.
Around 6pm, a number of managers, including two females, were all brought down and taken away by the police.
The police would want to find out who ordered the doors to be locked, as those orders would be illegal. The security guards reportedly said that they received orders from higher up.
Hira told reporters that NBS eventually handed over a cheque to his wife, Gina, for $59,033,281 – the amount of the judgement in December. This was after lawyers reportedly advised NBS officials on the way forward.
The incident yesterday is said to be far from over. There could be contempt charges against NBS officials. NBS is also facing claims from Arjoon for damages. One of the two other managers, Kissoon Baldeo, who has since moved to New Jersey, in the US, is set to also stake his claims for benefits.
Kent Vincent, meanwhile, is the head of the local office of Food For The Poor, and he is currently fighting in the High Court for his benefits. He too will be seeking damages.

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