Dolsingh claims he has proof that CL broke the law to access $$ from Statutory Reserve Fund

Attorney Bindra Dolsingh said on Sunday he has proof that the CL Financial group was allowed to break the law and access money in CLICO's Statutory Reserve Funds.

Dolsingh spoke at a CLICO Policyholders Group meeting in St. Augustine at which members agreed to take the state to court to recover funds invested in the failed insurance company.

Dolsingh said the money was used to fund several activities.He said it is because of that illegal activity that caused the company to be unable to service payments from the Executive Flexible Premium Annuities (EFPA's) to investors.

He said the previous Manning PNM administration had approached him to negotiate with the Central Bank governor to liquidate some of CL Financial's assets. 

"Everything was put in place. I have the letters there, but the letters were just being considered, nothing was being done," he told stakeholders.

He said despite all the talk of liquidating the assets, there was no move to actually do it. "Those are the properties that they didn't run any proper assessment on and took as assets into the Statutory Fund and ... was able to put a note on it and take the money out," he said.