In March of 2023, the Registrar of Credit Unions wept in to take over Saint Francis Xavier Credit Union. The Registrar - who is the governor of the Central Bank - said there were serious irregularities in management sanctioned by the Board Of Directors and the General Manager, Raphael Dominguez and that urgent intervention was necessary.
They vehemently disagreed, so the board and Dominguez lawyered up with Dean Barrow and challenged the Registrar's takeover in the Supreme Court.
They argued that the required process was not followed by the registrar and that he was not acting on a sound basis.
Well, in a judgement handed down today from Justice Martha Alexander, she found that the registrar was justified and correct and that the claim from the former senior management carried no water.
Andrew Marshalleck and Yohansseh Cave Represented the Bank. He gave us the gist of the 38 page judgement:
Andrew Marshalleck, Chairman - BEL
"Since the claimants also utterly failed to prove that the registrar's decision to appoint that administrator was motivated by hostility for the board or management or that there was any improper purpose for acting, that allegation was made too, but there was no basis in fact for it."
"So it wasn't made out, that failed. The court also found that the decision to appoint the administrator was not excessive or disproportionate, but really was a graduated response by the registrar and was rational and indeed an inevitable step in the saga as it unfolded at the credit union."
"It's in the sense that she in these circumstances the registrar was entitled to come to the conclusions that he did."
Jules Vasquez
"But is this vindication for the office of the registrar in so far as, his office had come under serious attack that he was operating without the best interest of the credit union at heart. He had a personal agenda, those were the allegations being made."
Andrew Marshalleck, Chairman - BEL
"Yes, and none of them were made out."
There is no indication if the former board and general manager plan to appeal.
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