Choice Bank of Belize faces liquidity problems
- Thread starter Caporaso and Partners
- Start date
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Is anyone aware of a law firm representing First Choice account holders in this matter?
Also, the prime minister of Belize recently indicated on Friday that First Choice has defaulted and the Belize Central Bank has stepped in. Choice Bank Partners Pull Out; Central Bank Steps In | Channel5Belize.com The central bank has been involved for over a month yet there has not been a single announcement.
Also, the prime minister of Belize recently indicated on Friday that First Choice has defaulted and the Belize Central Bank has stepped in. Choice Bank Partners Pull Out; Central Bank Steps In | Channel5Belize.com The central bank has been involved for over a month yet there has not been a single announcement.
I contacted the law firm above also corey silverstein. On gfy there was a post that corey silverstein started a lawsuit.None of the one mentioned above is up for a lawsuit.Wtf?? It︀ is worthless...belize lawyers aren t even interested. I wonder why..corruption maybe in that shithole of︁ a country.
I am going to contact a law firm from NY on monday.
I am going to contact a law firm from NY on monday.
All this is happening because of the money laundering act, the start was given in 2015, now it's just implemented.
There are hundred of thousands of accounts under investigation, accounts blocked and others have only cards blocked, they are searching and centralize a gazillion amount of data to detect money laundering systems and persons who opened accounts using fake data.
Welcome to the new world order era, no more anonymity just full control and sadly but very true bad things will follow in the next years.
The people that are moved on the white lists will receive their money using wired transfers method, the others︀ after identification will know what to do after they will receive their citations.
It's a︁ very complex investigation:
Something like, all ATM's use cameras and all the people have ID's︂ emitted by their countries, if you don't know after 2004 all countries members of the︃ G 20 (REPLACED G 8), when they make photos for the ID's the system also︄ make a biometric profile, etc etc bla bla, too much to write.
Also searching for︅ ghost companies that used this method to move money off-shore/on-shore, the bank employees are forbidden︆ to say anything while the investigation, that's why not even the Caporaso & Partners law︇ firm of Panama couldn't provide more info.
Inform yourself about G 20 and EU directive︈ 2015/849.
So no worry, the clean ones will receive their money back after investigations.
There are hundred of thousands of accounts under investigation, accounts blocked and others have only cards blocked, they are searching and centralize a gazillion amount of data to detect money laundering systems and persons who opened accounts using fake data.
Welcome to the new world order era, no more anonymity just full control and sadly but very true bad things will follow in the next years.
The people that are moved on the white lists will receive their money using wired transfers method, the others︀ after identification will know what to do after they will receive their citations.
It's a︁ very complex investigation:
Something like, all ATM's use cameras and all the people have ID's︂ emitted by their countries, if you don't know after 2004 all countries members of the︃ G 20 (REPLACED G 8), when they make photos for the ID's the system also︄ make a biometric profile, etc etc bla bla, too much to write.
Also searching for︅ ghost companies that used this method to move money off-shore/on-shore, the bank employees are forbidden︆ to say anything while the investigation, that's why not even the Caporaso & Partners law︇ firm of Panama couldn't provide more info.
Inform yourself about G 20 and EU directive︈ 2015/849.
So no worry, the clean ones will receive their money back after investigations.
CHOICE BANK LICENSE HAS BEEN REVOCATED
It is time to claim your money, if you need help please contact us.
It is time to claim your money, if you need help please contact us.
The Central Bank of Belize revokes the Choice Bank’s license
The Central Bank of Belize decided to revoke Choice Bank Limited’s license, in what has turned out to be an unexpected movement that has caused serious problems for account depositors, since Choice has ensured that, starting July 2, it will allow cash withdrawals to be made from its customers’ accounts.
The determination of the Central Bank of Belize, made known by the Governor Joy Grant, was produced six months after Choice bank’s problem began. During this period, the institution in charge of regulating the Central American country’s financial sector hasn’t adopted any measures!
In statements︀ published on the central Bank’s YouTube channel, Grant clarified that, with the revocation of its︁ license, the Chie Bank could no longer make international bank negotiations. According to this official,︂ a routine control of the Choice Bank made by the Central Bank at the end︃ of 2017 revealed weaknesses in operations and violations of international banking laws. In April of︄ 2018, Choice Bank’s problems increased, when its licenses for activities linked to pre-paid cards were︅ suspended. At the time, Choice Bank suspended withdrawal of cash deposited account holders.
According to︆ Grant, starting from that moment, the Central Bank of Belize has received an enormous amount︇ of e-mails, with complaints about Choice, made by customers of said bank, but THEY DID'N’T︈ DO ANYTHING. Some even threatened to adopt legal means (the Caporaso & Partners firm). Choice︉ Bank couldn’t present a plan that showed their intentions and capability to resolve this situation︊ to the Central Bank. At the beginning of this week, auditors of the Central Bank︋ entered the offices of Choice Bank to demand information that they hadn’t been able to︌ deliver previously, Ms. Grant, the bank governor pointed out. We now have to wonder why︍ the bank governor decided to take measures only after six months and why did she︎ put the bank in liquidation instead of curating it. She wouldn’t be going to place️ her friends in the bank to make the account holders’ money disappear, now would she? If there was no action by the Central Bank of Belize during the six months of the Choice Bank’s crisis, why do we have to believe that now they’re doing it in good faith?
After analyzing the data shared by the Choice Bank, the Central Bank of Belize concluded that the actions taken by the Choice Bank’s proprietors and management weren’t sufficient to correct the situation; nonetheless, obviating Choice’s communications where it indicated to its customers that, from July 2, it would have enabled access to their assets. Then, the︀ Central Bank decided to revoke its license and named a “liquidator”, Harry Hassel, who would︁ be supported by a team of assessors, who would probably have eaten up a big︂ part of the assets.
This “liquidator” will have complete power over Choice Bank’s administration. After︃ liquidating the Bank’s assets, Hassel will distribute these assets in a supposedly “fair and reasonable︄ manner” according to legal priorities, Grant concluded, who also clarified that the financial sector of︅ Belize will continue t be as strong as ever.
However, the truth is completely different.︆ The Central Bank of Belize’s little transparent way of acting has aroused strong criticism in︇ the international community and among account holders. The manner in which it proceeded with the︈ Choice Bank aroused many doubts about the banking sector in Belize and will undoubtedly result︉ in a decrease of investors’ trust because of the obvious lack of legal guarantees in︊ this country. We hope that the government will take action and liquidate the governor Grant︋ who has sown herself incapable of complying with the legal functions of the Central Bank.︌
The Central Bank of Belize decided to revoke Choice Bank Limited’s license, in what has turned out to be an unexpected movement that has caused serious problems for account depositors, since Choice has ensured that, starting July 2, it will allow cash withdrawals to be made from its customers’ accounts.
The determination of the Central Bank of Belize, made known by the Governor Joy Grant, was produced six months after Choice bank’s problem began. During this period, the institution in charge of regulating the Central American country’s financial sector hasn’t adopted any measures!
In statements︀ published on the central Bank’s YouTube channel, Grant clarified that, with the revocation of its︁ license, the Chie Bank could no longer make international bank negotiations. According to this official,︂ a routine control of the Choice Bank made by the Central Bank at the end︃ of 2017 revealed weaknesses in operations and violations of international banking laws. In April of︄ 2018, Choice Bank’s problems increased, when its licenses for activities linked to pre-paid cards were︅ suspended. At the time, Choice Bank suspended withdrawal of cash deposited account holders.
According to︆ Grant, starting from that moment, the Central Bank of Belize has received an enormous amount︇ of e-mails, with complaints about Choice, made by customers of said bank, but THEY DID'N’T︈ DO ANYTHING. Some even threatened to adopt legal means (the Caporaso & Partners firm). Choice︉ Bank couldn’t present a plan that showed their intentions and capability to resolve this situation︊ to the Central Bank. At the beginning of this week, auditors of the Central Bank︋ entered the offices of Choice Bank to demand information that they hadn’t been able to︌ deliver previously, Ms. Grant, the bank governor pointed out. We now have to wonder why︍ the bank governor decided to take measures only after six months and why did she︎ put the bank in liquidation instead of curating it. She wouldn’t be going to place️ her friends in the bank to make the account holders’ money disappear, now would she? If there was no action by the Central Bank of Belize during the six months of the Choice Bank’s crisis, why do we have to believe that now they’re doing it in good faith?
After analyzing the data shared by the Choice Bank, the Central Bank of Belize concluded that the actions taken by the Choice Bank’s proprietors and management weren’t sufficient to correct the situation; nonetheless, obviating Choice’s communications where it indicated to its customers that, from July 2, it would have enabled access to their assets. Then, the︀ Central Bank decided to revoke its license and named a “liquidator”, Harry Hassel, who would︁ be supported by a team of assessors, who would probably have eaten up a big︂ part of the assets.
This “liquidator” will have complete power over Choice Bank’s administration. After︃ liquidating the Bank’s assets, Hassel will distribute these assets in a supposedly “fair and reasonable︄ manner” according to legal priorities, Grant concluded, who also clarified that the financial sector of︅ Belize will continue t be as strong as ever.
However, the truth is completely different.︆ The Central Bank of Belize’s little transparent way of acting has aroused strong criticism in︇ the international community and among account holders. The manner in which it proceeded with the︈ Choice Bank aroused many doubts about the banking sector in Belize and will undoubtedly result︉ in a decrease of investors’ trust because of the obvious lack of legal guarantees in︊ this country. We hope that the government will take action and liquidate the governor Grant︋ who has sown herself incapable of complying with the legal functions of the Central Bank.︌
Grant tells a lot of BS. The bank was ready to restart with sound plans according to an insider. On Monday July 2 every client was entitled to a withdrawal of 25 K to start with.
However, the bank was raided by 20 armed guards on Friday. Staff was held at blank gunpoint and forced to sign secrecy agreements. Management was fired. During Monday phone calls were not attended to and the same goes for mails. Grant and Barrow (prime minister) have turned this into a total chaos in just 1 day.
A YouTube clip was also posted online showing Grant while giving all arguments︀ for the decision. 80% are lies. Information was not provided as she stated. The spokesman︁ however told that information was provided on a daily basis as requested. During meetings with︂ the Central Bank and the Prime Minister all plans for recovery were received with consent.︃ Every time that happened a directive was to follow with measures to undercut these plans.︄
It is pretty clear the government of Belize has run out of USD cash after︅ having been convicted to pay Lord Ashcroft according to another corporate raid they performed on︆ BTL (Belize Telecom) Looking at Grant's 7 min lie where she states no other banks︇ are affected (what a joke....take your money and run out of this country if you︈ can) and the corporate financial affairs are in order the impression arises the government is︉ out to raid another company to close the large holes they created in their budget.︊
Using physical power and threatening staff under blank gunpoint is an activity you would rather︋ expect in Northern Corea. Barrows and his accomplice just do it. Also threatening to get︌ already fired people with arm forces from their home is ridicolous.
However, the bank was raided by 20 armed guards on Friday. Staff was held at blank gunpoint and forced to sign secrecy agreements. Management was fired. During Monday phone calls were not attended to and the same goes for mails. Grant and Barrow (prime minister) have turned this into a total chaos in just 1 day.
A YouTube clip was also posted online showing Grant while giving all arguments︀ for the decision. 80% are lies. Information was not provided as she stated. The spokesman︁ however told that information was provided on a daily basis as requested. During meetings with︂ the Central Bank and the Prime Minister all plans for recovery were received with consent.︃ Every time that happened a directive was to follow with measures to undercut these plans.︄
It is pretty clear the government of Belize has run out of USD cash after︅ having been convicted to pay Lord Ashcroft according to another corporate raid they performed on︆ BTL (Belize Telecom) Looking at Grant's 7 min lie where she states no other banks︇ are affected (what a joke....take your money and run out of this country if you︈ can) and the corporate financial affairs are in order the impression arises the government is︉ out to raid another company to close the large holes they created in their budget.︊
Using physical power and threatening staff under blank gunpoint is an activity you would rather︋ expect in Northern Corea. Barrows and his accomplice just do it. Also threatening to get︌ already fired people with arm forces from their home is ridicolous.
File a lawsuit against who? Choice or central? We are entitled to file a suit against fcp and choice only. I wonder what were their resons for revoking the license. What did they find? Must be something solid. I need to know that to make a judgement but no info is shared across the media.
And we ll be stuck with Choice ...the same that didn t do s**t so far🙁. I m at the point where i trust no one.There has been so many rumours online that i ended up working on this 20 h a day.We get the money, we get agreement, those who have less get all money then we all get 100%.Messed up my brain.
I agree with you that there might have been some violations..it s belize for god s sake!!
But obviously choice did something wrong .The liquidity sittuation in the first place is their fault then the whole management of this sittuation.Now︀ central says they did something ilegall.
This time i can t choose sides. I m︁ inclined to go for central. Choice had the power so far..let s see what central︂ does.
Liquidation is such an awful process thou....We re fucked people!!!
I agree with you that there might have been some violations..it s belize for god s sake!!
But obviously choice did something wrong .The liquidity sittuation in the first place is their fault then the whole management of this sittuation.Now︀ central says they did something ilegall.
This time i can t choose sides. I m︁ inclined to go for central. Choice had the power so far..let s see what central︂ does.
Liquidation is such an awful process thou....We re fucked people!!!
EU Directive, this is a an EU rule shouldn't be forced︉ on others. These people sadly to say have made billions over decades laudering money and︊ supporting "legal crimes". Why have they subdued the Panama papers? These people are making it︋ difficult for anyone that they don't APPROVE OF to make a comfortable life. I don't︌ support terrorism or a any activity that directly harm individuals, so why can't I have︍ some privacy? I would not focus on any of those Islands that were once used︎ for a "colonial do" not saying that it no longer happens. British Virgin Island is️ next, I wonder why people open accounts there, the UK will soon pull reins, wait on Brexit effects.
Omg freelancer..give us a fucking break!!!!
We had no choice, we are being paid by a company that works with them.You are out of this topic. We re doing nithing illegal, i pay my taxes and all.
Go bip youself, we are under pressure here and we don t need someone.like you telling us why we kept money there.
Omg there are some stupid people in this world.
We had no choice, we are being paid by a company that works with them.You are out of this topic. We re doing nithing illegal, i pay my taxes and all.
Go bip youself, we are under pressure here and we don t need someone.like you telling us why we kept money there.
Omg there are some stupid people in this world.
This is a press release issued just now describing the process up to 27th of June
Press Release
For Immediate Release
Choice Bank Limited
(A licensee under the International Banking Act, Chapter 267, Laws of Belize)
June 27th, 2018
The Bank is a Belize international business company duly licensed under the International Banking Act (“IBA”) to conduct international banking business in Belize and is regulated directly thereunder by the Central Bank of Belize (“Central Bank”) and ultimately by the Minister responsible for banks and banking (Minister of Finance).
The Bank has recently experienced a liquidity event which has caused it to︀ restrict client payments for a period of time. Subject to Central Bank of Belize and︁ Minister of Finance approval for certain actions, which has not been forthcoming, the Bank intends︂ to re-commence customer payment operations on about Junes 30th, 2018.
As of the end of︃ December, 2017, as indicated in the Bank’s audited financial statements and further evidenced in the︄ quarterly financial statements published by the Central Bank of Belize, the Bank held total deposit︅ liabilities of US$203mn with cash due from banks in the sum of US$136mn.
Further, as︆ of the end of December 2017, the Bank held total equity of US$26mn, exceeding the︇ minimum statutory required capital of US$3mn by US$23mn and maintained a risk weighted capital adequacy︈ ratio of 12.4%, in excess of the legal requirement of 10%.
In compliance with Central︉ Bank of Belize requirements that the Bank shall maintain a minimum aggregate holding of statutory︊ approved liquid assets with a maturity of no more than one year, which shall be︋ at least twenty four percent (24%) of its total deposit liabilities, the Bank met and︌ exceeded its statutory approved liquid asset requirement of US$48mn by US$91mn as indicated in the︍ December 2017 Quarterly Financials, with an overall approved liquid asset ratio of approximately 68%.
One of the primary areas of the Bank’s international banking business, is the operation and management︎ of an international payment system through the issuance and management of branded pre-paid (pre-funded) payment️ cards, which system is used internationally (primarily in Europe and North America) to effect payment of salaries and remuneration for employees and self-employed contractors, including employees/contractors in the adult entertainment sector.
In connection therewith, on June 3, 2008, the Bank entered into a license agreement with Mastercard International Inc. which permitted the Bank to issue Mastercard branded pre-paid payment cards internationally.
As of the end of December 2017, the Bank had over 305,000 active Mastercard branded pre-paid card holders with accumulated balances of approximately US$91.9M
At the beginning of this year approximately 71% of the Bank’s deposits were comprised of deposits relating to the Mastercard︀ prepaid card business, of which 41% of its deposits consisted of deposits from clients engaged︁ in the Adult Business.
Towards the end of 2017 and in the early part of︂ 2018, Mastercard indicated to the Bank that it may restrict the Bank from issuing Mastercard︃ branded pre-paid payment cards (“Cards”) in jurisdictions that the Bank had hitherto been︄ permitted to issue to, including North America and Europe (collectively “the Restricted Jurisdictions”). Funds︅ deposited with the Bank to fund/load the Bank’s prepaid cards business issued in the Restricted︆ Jurisdictions represented more than 90% of the Bank’s total prepaid card deposits and corresponding assets.︇
On January 17, 2018, the Central Bank issued a directive to the Bank requiring it︈ to take steps to exit from the “adult” space in the prepaid card business by︉ the end of 2018. The Bank’s Adult business had operated without any compliance or related︊ issues since inception, the rationale for the Central Bank directive is unknown by the Bank.︋ As the Bank shares no correspondent Banks with any other Belizean Banks the Adult business︌ was not a threat to any other Bank within the jurisdiction.
In February 2018, Mastercard︍ conducted a review of the Bank’s Mastercard-branded activities and in pursuance of the Adult Space︎ Directive, the Bank communicated such directive to Mastercard as well as other relevant parties. In️ furtherance of this review, by letter dated March 15, 2018, despite the Bank’s efforts to negotiate extensions of deadlines, Mastercard determined that the Bank would no longer be permitted to issue or maintain Cards in the Restricted Jurisdictions, that it must not newly issue or reissue any Cards and that as of the end of June, 2018, it must cease reloads of Cards. MasterCard change of rules applying to Restricted Jurisdictions is not specific to Choice Bank.
During the period of the first quarter of 2018, particularly in the months of February and March, 2018, notwithstanding that there had been no public disclosure of Mastercard’s︀ contemplations, the Bank experienced abnormally large cumulative withdrawals of deposits from customers primarily in the︁ pre-paid card section of the Bank’s business signaling in the view of the Bank the︂ onset of a developing run on the Bank. In February, 2018, deposits fell by over︃ 8% or US$17mn while in March, 2018 deposits fell a further US$19mn or over 10%︄ of total deposit liabilities.
The Required Action and the Bank’s compliance with its obligation to︅ notify customers thereunder further exacerbated the cash outflow.
While the Bank continued to maintain its︆ prudential ratios, including meeting and exceeding minimum statutory capital adequacy ratios, capital requirements and approved︇ liquid asset requirements, in early April, 2018, based on internal financial projections, the Bank held︈ the view that without intervention of the Central Bank of Belize as a statutory administrator,︉ the Bank would shortly run out of available cash to meet the withdrawal demands of︊ its depositors given its mismatch between very short-term liquidity demands of less than 30 days︋ due to the run on the Bank and its statutory approved liquid assets (among other︌ assets) with varying maturities, many of which ranged between three and six months.
Press Release
For Immediate Release
Choice Bank Limited
(A licensee under the International Banking Act, Chapter 267, Laws of Belize)
June 27th, 2018
The Bank is a Belize international business company duly licensed under the International Banking Act (“IBA”) to conduct international banking business in Belize and is regulated directly thereunder by the Central Bank of Belize (“Central Bank”) and ultimately by the Minister responsible for banks and banking (Minister of Finance).
The Bank has recently experienced a liquidity event which has caused it to︀ restrict client payments for a period of time. Subject to Central Bank of Belize and︁ Minister of Finance approval for certain actions, which has not been forthcoming, the Bank intends︂ to re-commence customer payment operations on about Junes 30th, 2018.
As of the end of︃ December, 2017, as indicated in the Bank’s audited financial statements and further evidenced in the︄ quarterly financial statements published by the Central Bank of Belize, the Bank held total deposit︅ liabilities of US$203mn with cash due from banks in the sum of US$136mn.
Further, as︆ of the end of December 2017, the Bank held total equity of US$26mn, exceeding the︇ minimum statutory required capital of US$3mn by US$23mn and maintained a risk weighted capital adequacy︈ ratio of 12.4%, in excess of the legal requirement of 10%.
In compliance with Central︉ Bank of Belize requirements that the Bank shall maintain a minimum aggregate holding of statutory︊ approved liquid assets with a maturity of no more than one year, which shall be︋ at least twenty four percent (24%) of its total deposit liabilities, the Bank met and︌ exceeded its statutory approved liquid asset requirement of US$48mn by US$91mn as indicated in the︍ December 2017 Quarterly Financials, with an overall approved liquid asset ratio of approximately 68%.
One of the primary areas of the Bank’s international banking business, is the operation and management︎ of an international payment system through the issuance and management of branded pre-paid (pre-funded) payment️ cards, which system is used internationally (primarily in Europe and North America) to effect payment of salaries and remuneration for employees and self-employed contractors, including employees/contractors in the adult entertainment sector.
In connection therewith, on June 3, 2008, the Bank entered into a license agreement with Mastercard International Inc. which permitted the Bank to issue Mastercard branded pre-paid payment cards internationally.
As of the end of December 2017, the Bank had over 305,000 active Mastercard branded pre-paid card holders with accumulated balances of approximately US$91.9M
At the beginning of this year approximately 71% of the Bank’s deposits were comprised of deposits relating to the Mastercard︀ prepaid card business, of which 41% of its deposits consisted of deposits from clients engaged︁ in the Adult Business.
Towards the end of 2017 and in the early part of︂ 2018, Mastercard indicated to the Bank that it may restrict the Bank from issuing Mastercard︃ branded pre-paid payment cards (“Cards”) in jurisdictions that the Bank had hitherto been︄ permitted to issue to, including North America and Europe (collectively “the Restricted Jurisdictions”). Funds︅ deposited with the Bank to fund/load the Bank’s prepaid cards business issued in the Restricted︆ Jurisdictions represented more than 90% of the Bank’s total prepaid card deposits and corresponding assets.︇
On January 17, 2018, the Central Bank issued a directive to the Bank requiring it︈ to take steps to exit from the “adult” space in the prepaid card business by︉ the end of 2018. The Bank’s Adult business had operated without any compliance or related︊ issues since inception, the rationale for the Central Bank directive is unknown by the Bank.︋ As the Bank shares no correspondent Banks with any other Belizean Banks the Adult business︌ was not a threat to any other Bank within the jurisdiction.
In February 2018, Mastercard︍ conducted a review of the Bank’s Mastercard-branded activities and in pursuance of the Adult Space︎ Directive, the Bank communicated such directive to Mastercard as well as other relevant parties. In️ furtherance of this review, by letter dated March 15, 2018, despite the Bank’s efforts to negotiate extensions of deadlines, Mastercard determined that the Bank would no longer be permitted to issue or maintain Cards in the Restricted Jurisdictions, that it must not newly issue or reissue any Cards and that as of the end of June, 2018, it must cease reloads of Cards. MasterCard change of rules applying to Restricted Jurisdictions is not specific to Choice Bank.
During the period of the first quarter of 2018, particularly in the months of February and March, 2018, notwithstanding that there had been no public disclosure of Mastercard’s︀ contemplations, the Bank experienced abnormally large cumulative withdrawals of deposits from customers primarily in the︁ pre-paid card section of the Bank’s business signaling in the view of the Bank the︂ onset of a developing run on the Bank. In February, 2018, deposits fell by over︃ 8% or US$17mn while in March, 2018 deposits fell a further US$19mn or over 10%︄ of total deposit liabilities.
The Required Action and the Bank’s compliance with its obligation to︅ notify customers thereunder further exacerbated the cash outflow.
While the Bank continued to maintain its︆ prudential ratios, including meeting and exceeding minimum statutory capital adequacy ratios, capital requirements and approved︇ liquid asset requirements, in early April, 2018, based on internal financial projections, the Bank held︈ the view that without intervention of the Central Bank of Belize as a statutory administrator,︉ the Bank would shortly run out of available cash to meet the withdrawal demands of︊ its depositors given its mismatch between very short-term liquidity demands of less than 30 days︋ due to the run on the Bank and its statutory approved liquid assets (among other︌ assets) with varying maturities, many of which ranged between three and six months.
- Status