Hylton gets death threats
The group managing director of National Commercial Bank (NCB), Patrick Hylton, has received death threats and his home watched by unknown persons in heavily tinted vehicles, the Observer was told yesterday.
It was not clear why the prominent banker is being threatened, but NCB’s decision not to honour a number of cheques from alternative investment schemes has angered many of the schemes’ investors who have publicly voiced discontentment with NCB, one of the country’s largest commercial banks.
Yesterday, Hylton appeared unfazed by the threats, describing them as “cowardly”.
Last month, Hylton, in his capacity as president of the Jamaica Bankers Association (JBA), dismissed claims that the JBA’s members have conspired to close the accounts held in their respective banks by the alternative investment schemes.
“We have never discussed or agreed to shut down anyone’s business,” the JBA said in a statement.
The JBA made it clear that commercial banks in Jamaica honour cheques drawn on their accounts where there are cleared funds. The JBA also said that permitting cheques to be drawn where there are uncleared funds or allowing an overdraft facility under which cheques can be drawn without sufficient funds needs a special arrangement to be agreed upon between the customer and the bank.
Earlier in his career Hylton headed FINSAC, the vehicle created by the Government to rescue failed financial institutions in the mid-1990s financial sector meltdown.
Yesterday, a source close to Hylton said that over the past week he had been experiencing instances of unknown persons in heavily tinted vehicles visiting the outskirts of his residence and acting in a suspicious manner.
“These visits have happened on at least seven occasions over the past week, at several times during the day and at nights. These persons approach the residence, park a few metres away and then attempt to look over the wall and into the grounds around the house,” said the source who asked for anonymity.
“In one case, the security personnel stationed at the gate of the residence described one of the individuals as masked with a handkerchief over this face and wearing dark glasses. The licence plate of one of the vehicles was identified and subsequently confirmed as having been stolen,” the source told the Observer last night.
When contacted, Hylton said that the incidents have been reported to the police and the matter is being thoroughly investigated.
“I am not unfamiliar with acts of intimidation, having experienced similar difficulties during my early career,” said the NCB boss. “I bear no ill will for anyone and regard any threats to me as cowardly.”
The alternative investment schemes are now challenging the more formal banking sector with interest returns averaging 10 per cent a month. It has been reported that depositors may have placed close to J$200 billion with these schemes and there are those who believe that the banks are conspiring to effect the demise of these schemes, thus causing tempers to be frayed.
Some banks have cautioned their employees to be careful and not to draw unwarranted attention to themselves at this tense time.
The popular Cash Plus sought an injunction from the Supreme Court preventing NCB from closing or causing to close a number of its accounts held at the bank. The matter is set to be heard in court today.