Financial Crime World

Financial Crime Case Studies: SSL Fraud Probe Uncovers Wider Scheme

A massive fraud scheme uncovered at Stocks and Securities Limited (SSL) has left over 70 victims out of pocket, with losses totaling approximately J$1.5 billion (US$10 million). The alleged fraud dates back over a decade and involves an entrenched culture of gross mismanagement.

Probe Unearths Wider Scheme

According to the Financial Investigations Division (FID), multiple fraudulent schemes were identified at SSL, resulting in the misappropriation and/or loss of numerous investors’ funds. The FID is expected to arrest and charge additional individuals involved in the scheme before the next court date.

Key Findings

  • Over 70 affected accounts have been identified, with losses totaling US$10 million.
  • The probe began in January, initially affecting just over 40 accounts worth J$3 billion.
  • Investigators have discovered a decade-long culture of gross mismanagement at SSL.

Charges and Arrests

Jean-Ann Panton, a former client relationship manager at SSL, is currently the only person charged in connection with the fraud. She is due back in court on December 6.

Investigation Update

Director General of the FID, Selvin Hay, described the investigation as having “new dimensions which are wider than first expected.” The probe has taken on new importance, with the FID working closely with international partners to gather evidence and pursue prosecutions.

Challenges and Cooperation

FID Director of Investigations Keith Darien acknowledged that prosecuting financial crimes requires meticulous evidence gathering. He noted that certain deliberate actions were being taken to support increased investigative efficiency, but responses from some affected parties had been “short of encouraging.”

International Collaboration

The FID is working closely with international partners, including the US Federal Bureau of Investigations (FBI), United Kingdom-based forensic accounting and intelligence firm Kroll, and the Asset Recovery Inter-Agency Network for the Caribbean.

Next Steps

The investigation is ongoing, and the FID has vowed to “robustly pursue various lines of inquiry” and take all necessary steps to lead evidence-based prosecutions in court. The agency has promised to keep stakeholders informed of developments in the case.

Timeline

  • January: Initial report of alleged fraud at SSL.
  • December 6: Jean-Ann Panton due back in court.
  • Ongoing: Investigation into wider scheme and further arrests expected.