Government expects to pay $20B to Clico investors; $265M already paid

The Government of Trinidad and Tobago has paid out $265 million to 7,150 CLICO depositors and 1,554 clients of British American Insurance who had investments of $75,000 and less. 

And Finance Minister Winston Dookeran expects that the government will pay as much as $20 billion by the time the government closes the book on the CLICO matter.

Dookeran told reporters Wednesday that 361 cases have also been processed for compassionate relief with a value of $75 million. And an additional 595 clients with mutual funds of $75,000 and less at CLICO have been approved for payment amounting to $20.8 million.

The minister was speaking with reporters at a briefing session at his ministry. He explained that CLICO depositors with investments of over $75,000 do not necessarily haver to hold their Government bonds for 20 years. 

"One can go to the market the day after the debt bonds are issued and the banks can give you a disclosed price," he said. He added that Government is discussing how to make the discount rate more attractive. The current rate is between 67 cents and 80 cents on the dollar.

Dookeran said the returns from the major assets of CLICO - Republic Bank and Methanol - are being used for pay debts to depositors and policyholders. He promised that when the annual reports of the companies are prepared he will make them available to the public.