Panday says Warner's HCU bailout plan is not a UNC one

UNC leader Basdeo Panday told the Trinidad Express Monday a plan to resurrect the Hindu Credit (HCU) announced by UNC Deputy Political leader Jack Warner Sunday is not the UNC's. And he said the party believes that only the Government has the resources to bail out the HCU.

Warner announced Sunday at a meeting of HCU shareholders and depositors that he would put $1 million of his personal funds to begin a new company to buy the assets and liabilities of the HCU and he appealed to investors to contribute the remaining $299 million to make up the difference between the HCU's assets and liabilities.

Warner said the UNC would stand by the HCU members and investors although the party had been slow in responding to their problem. But Panday made it clear that his politiocal colleague's plan is not one that the party has approved.

"This is the first time I am hearing about that. That is not a party decision. The second thing I will ask is where is the next $299 million coming from. Who will be in control of it? And what will it be used for?" Panday asked.

And he dismssed any suggestion that the UNC was not aggreesive enough on the HCU matter.

"The Court made an order and when we were called upon to make a statement, we said an order was in place and it was not proper to make a statement that could influence what was taking place in the court. And that was the responsible position," Panday told the paper, referring to he situation of the HCU before the Credit Union Commissioner ordered the HCU to be closed and liquidated.

He said when the issue reached Parliament, the UNC "vociferously" stood up for the HCU depositors. He said when the Central Bank amendment bills went before the House of Representatives the UNC refused to support them "unless they treated the HCU depositors on the same basis as they treated the CIB depositors."

Warner is pressing on with his plan and told the Express the response to the proposal has been "fantastic" and "gratifying". He said several people have called and made pledges and some legal people have also offered their services.

He said he plans to announce the names of members of the board for the new company when he brings up the HCU matter in Parliament on Friday.

Warner was adamant that he would not put any money into the hands of HCU president Harry Harnarine.