FINANCIAL SERVICES AUTHORITY
SAINT VINCENT & THE GRENADINES
PRESS RELEASE NO.1
February 09, 2024
CALLIAQUA FRIENDLY SOCIETY
STATEMENT BY THE FSA
The Financial Services Authority (“FSA”) hereby provides the following update to members of the now defunct Calliaqua Provident Friendly Society (“the Society”) on the resolution action taken in relation to the said society.
On January 26, 2023, the FSA issued a notice of cancellation to the Executive members of the Calliaqua Provident Society, indicating its intention to cancel the society’s registration. This notice was issued due to the society’s declining membership and its inability to comply with the requirements of the governing legislation, the Friendly Societies Act, amongst other matters.
Following the issuance of the notice of cancellation to the society, the FSA became the custodian of the Friendly Society’s savings account at the First St. Vincent Bank Limited and has managed all activities relating to the account since. The society was also required to submit its books and records to the FSA for the appropriate reviews to be undertaken.
Subsequently, on April 18, 2023, the FSA published the notice of its decision to cancel the society’s registration pursuant to section 74 (2) of the Friendly Societies Act No.8 of 2021 in the local Newspapers and the Government Gazette of St. Vincent and the Grenadines. The Society was formally cancelled on June 21, 2023.
Following the abovementioned action, the FSA undertook an extensive review of the books and financial records of the society for the last eight years of operation (January 2012 to December 2019). The objective of the exercise was to establish reliable patterns and information regarding the entity’s operational activities, i.e., members’ contribution and death benefit claims and settlement activities during that period. Fundamental to the review conducted by the FSA, was the evaluation and verification of members’ passbooks received in response to the notice published on September 5, 2023, in the local press.
Having reviewed the records and books of the society, the FSA has concluded that the Board of the Calliaqua Friendly Society at the time, conducted the affairs of the society satisfactorily.
Following the evaluation of records kept by the Society and members’ passbooks, it can be confirmed that:
1. the records maintained by the Society matched the information found in the passbooks presented by members. There were 44 active members as at December 2019. The FSA was able to validate the eligibility of all 44 members.
2. members’ contributions to the society ceased in 2019.
3. contributions made by active members were insufficient to sustain the society’s operations.
4. two properties registered to the society were sold by the Society (Trustees) at market value in 2022. Funds from the sale of the real property were deposited into the Society’s bank account at the First St. Vincent Bank Limited and are available for distribution to active members after the settlement of outstanding balances.
The FSA, therefore, wishes to advise that the available funds of the society would be distributed amongst the eligible members within the first quarter of 2024.
The FSA would contact eligible members to advise them of the payment date and collection process.
Submitted by and on behalf of:
Financial Services Authority
Press Release No. 1 (Following Notice to members, dated September 5th,2023).