There has been a changing of the guards at the Home Mortgage Bank (HMB) in Trinidad and Tobago. Controversial PNM jefe Andre Monteil has quit as chairman and UDeCOTT chairman Calder Hart, had moved from director to chair the bank's board of directors.Monteil made news headlines while he was chairman of Clico Investment Bank and used his position to lend the bank’s money to his company, Stone Street Capital, to buy $110 million worth of shares in HMB while he held the position of chairman of HMB.
He was also chairman of the Housing Development Corporation (HDC) at the time and treasurer of the governing People's National Movement, PNM. He has since quit the political post as well as his positions in the HDC and Clico.
An ad in the press says Monteil's shareholding in HMB has been sold to the National Insurance Board (NIB).
The issue of Monteil's purchase of the shares was first raised in Parliament by then UNC-MP for Caroni East Ganga Singh.
The government initially remained silent except to accuse Singh of making false allegations. But two weeks after Singh made the allegation Prime Minister Patrick Manning confirmed that the matter was under investigation.
Manning said, “Prior to the matter being raised in the House, it had indeed come to the attention of the Minister of Finance and the Prime Minister an investigation was already under way.
"The Minister of Finance and Prime Minister is now in receipt of a preliminary report on the matter and a number of related issues which have been made by the report are now the subject of continuing investigation,” he said.
Manning promised that as soon as a final report was available, he would report to the House indicating the “actions taken and contemplated as considered appropriate.”
Manning subsequently read a statement in Parliament on August 17, 2007 announcing Monteil's resignation from the Housing Development Corporation. He said while Monteil didn't break any law, the transaction was inconsistent with the Government’s policy objective. But up to now no action was taken against Monteil and he kept his top job at the HMB.
In announcing Monteil's departure, the board of the bank said UDeCOTT boss Calder Hart was appointed as Monteil's successor at its meeting on November 14.
“The Board of Directors at its meeting on November 14, 2008 appointed Mr Calder Hart, a director in the Bank, as its new chairman. Mr Hart brings with him great experience in the area of mortgage management. He was first CEO of the Bank and on his retirement he remained a director of the Bank”, the announcement said.
Hart now heads four of the country's top financial organizations: The HMB, UDeCOTT, NIB and TTMF.
Hart became the focus of allegations of corruption shortly after Prime Minister Patrick Manning fired Keith Rowley after he questioned UDeCOTT's activities. Hart also faces scrutiny for allegedly awarding a multi-million-dollar contract to a firm owned by Hart’s brother-in-law.
Hart's various appointments could also put him in a position of conflict of interest under the provisions of the Integrity in Public Life Act the Financial Institutions Bill 2008, which now in before Parliament.
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