FNM MP raises CLICO, City Market plight in House

Tue, Mar 28th 2017, 01:19 AM

Declaring that as the Christie administration draws closer to the end of this term "matters are just pushed through this House", Montagu MP Richard Lightbourn said yesterday it appears the government has either forgotten or is simply not motivated to address the outstanding claims of Bahamian CLICO policyholders or former City Market workers.
"We all remember City Market; here we are dealing solely with the Bahamian employees of City Market, who have for the last -- I've lost the number of years, it could be up to 10 years -- have been seeking some type of compensation and government seems to attach no priority to that," he said.
"I suppose it wouldn't be as a result of the fact that virtually all of the claimants of City Market are Bahamian.
"I would urge the government to look into that matter and to have some time given to addressing that issue."
The purchase of some of the City Market chain of food stores' assets was finalized in June 2012.
Former workers, who have staged multiple protests outside of the House of Assembly, said the former owners have long been paid and the workers must receive what is owed to them -- in excess of $3 million in severance pay, according to spokespersons for the group.
Lightbourn asserted that the government has failed those Bahamians at a time when so many people are unemployed, "and yet these persons cannot be compensated for monies that are rightfully owed to them".
The Montagu MP also said despite the interest expressed by the government to resolve the CLICO matter several years ago, since then, "nothing has happened".
Minister of State for Finance Michael Halkitis rebutted that over 3,000 CLICO policyholders were paid last year.
He said the policyholders that were owed under $10,000 were paid in full.
Halkitis said the government is committed to settling the outstanding claims of policyholders and the government "will make an announcement in short order".
He did not address the matter of the former City Market employees.
"We wanted to do it sooner; some matters came up, but we will be making an announcement in short order for the resolution of the CLICO matter," Halkitis said.
"But, it is unfair to say, Mr. Speaker, that nothing was done.
"When we settled those claims, we dealt with approximately 80 percent of the outstanding policies.
"We have to deal with the others we acknowledge and we are committed to dealing with that.
"But, to say nothing was done, Mr. Speaker, is not true."
In December 2016, Halkitis advised Parliament that the final payout to distressed policyholders of CLICO was expected to be made in January 2017, pointing out that the liquidators and other professionals were completing a business plan and funding structure that would ultimately be approved by the Insurance Commission of The Bahamas and the Supreme Court.
The payout was estimated at around $38 million.
Lightbourn said the government seems proud to announce that a "small number benefitted by efforts they have made".
Halkitis said the government is pleased to be able to assist those who have languished for many years without a resolution and stressed that over 3,000 policyholders is not a small number.
However, Lightbourn expressed doubts that the government will keep its word on the matter.
Additionally, he said the Free National Movement (FNM) will ultimately resolve the matter as the current government will not be in power for much longer.
"They won't be here to deal with anything," he said.
"So, at least we can be sure that the matter in fact will be dealt with when the present government is removed from office."

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