UK-based firm paid more than US$1.2 million for forensic audit of SSL

Finance Minister Dr Nigel Clarke says it has cost more than US$1.2 million to pay United Kingdom-based forensics firm Kroll Associates for a "comprehensive" report that has given local investigators a "clearer picture" of the alleged fraud at Stocks and Securities Limited (SSL).

He gave the update during his opening of the 2024-2025 budget debate in the House of Representatives on Tuesday. 

Kroll was engaged to examine the period 2010 to 2023 at SSL.

Clarke explained that Kroll's fees were paid using US$50,000 from the UK government and US$1.2 million from the Civil Recovery Fund held by Jamaica's Financial Investigations Division (FID).  

The Civil Recovery Fund is financed from the proceeds of crime forfeited via the civil recovery provisions under the Proceeds of Crime Act. The funds in the account are designated for use by the FID in the furtherance of its mandate to investigate financial crimes and money laundering. 

The fraud was reported on January 10, 2023, and only one person, Jean-Ann Panton, a former client relationship manager, has been charged.  

SSL was established in 1973 and renamed from Paul Chen Young and Co. in 2006 after businessman Hugh Croskery took it over. 

"The Kroll report has confirmed that the suspected fraudulent activity and mismanagement at SSL and its related parties were much broader than initially understood," Clarke said, noting that the investigative agencies are "committed to bringing those who are involved to justice".

The SSL fraud has ballooned past US$30 million, or approximately J$4.7 billion, with more than 200 client accounts impacted. Sports legend Usain Bolt is among those affected.

The FID and the Financial Services Commission are leading the probe.  

Meanwhile, Clarke said "the investigation is progressing as planned".

"A file was submitted to the Office of the Director of Public Prosecutions for the consideration of criminal charges against individuals linked to the SSL network of companies and/or the companies pursuant to the Proceeds of Crime Act, Larceny Act and financial sector legislation," Clarke said. 

Last December, DPP Paula Llewellyn told The Sunday Gleaner that her office was awaiting additional “documents” from the FID to complete its review of the “voluminous” SSL case file.

- Jovan Johnson

Follow The Gleaner on X and Instagram @JamaicaGleaner and on Facebook @GleanerJamaica. Send us a message on WhatsApp at 1-876-499-0169 or email us at onlinefeedback@gleanerjm.com or editors@gleanerjm.com.