Opposition files no confidence motion

Opposition Leader Mia Mottley has filed a motion of no confidence against Prime Minister David Thompson over his handling of what has become known as the CLICO affair.



Mottley, who a week ago told a public meeting that she intended to file the motion, did so on Friday.



In it she contends that the Prime Minister misled more than 38,000 CLICO policyholders, when he indicated that CLICO Barbados was sound, prudently managed and well regulated.



Ms Mottley said Barbadian depositors, investors and holders of insurance policies were also assured of their safety, while he knew or ought to have known that the company’s statutory fund deficit was US$46.5 million at the end of 2007.



The motion also argues that Thompson failed to tell Barbadians what action he had taken, or would have taken to protect the thousands of policy holders, depositors and their families.



Under Barbados law, an insurance company must create a statutory fund placed in trust, to protect policy holders, in the event that financial problems make it difficult for the company to meet its obligations to policy holders.



CLICO’s parent company, CL Financial, received a massive bailout package from the Trinidad and Tobago government at the end of January.