Judge orders state to pay +$300M to Clico EFPA policyholders

Newsday graphic

A court has ordered the government of Trinidad and Tobago to pay more than $300 million to 250 persons who held Executive Flexible Premium Annuity (EFPA) with Colonial Life Insurance Company (Trinidad) Limited (Clico).

The money, with interest, represents 100 per cent of what was contractually owed to them by Clico.

Justice Joan Charles ruled Tuesday that the Government failed to keep a promise made to the EFPA policyholders by the previous PNM administration.

The Manning PNM administration had agreed to pay the full amount on the EFPA. The ruling means that the Government now has to keep the promise made to the EFPA policyholders by its predecessor administration.

Interest would have to be calculated at the rate of three per cent from September 2010 to March 12, 2013. The judge gave the state a stay of execution of 28 days to consider whether it wishes to appeal.

Read the full NEWSDAY report by JADA LOUTOO