The company was forced to file for Chapter 11 bankruptcy protection in August this year amid allegations of ‘financial irregularities’ .
An article in the September 30 edition of KYC News the former Offshore Alert newsletter, reported that CIBC Trust Company (Bahamas) had been named in a class action lawsuit as a major shareholder in DVI Inc., which filed for Chapter 11 bankruptcy protection on August 25, 2003.
The KYC News article said CIBC Trust Company (Bahamas) was named as the beneficial owner of 17.72 per cent of DVI’s stock. At the time of the bankruptcy protection filing, DVI cited assets of $1.866 billion, and the article also named CIBC Trust Company (Bahamas) as the company’s second largest unsecured creditor with a claim of $12.75 million.
However, financial industry sources told The Tribune that CIBC Trust Company (Bahamas) would not own stock in a comapny or make loans such as the one advanced to DVI, adding that they were likely to have been held on behalf of a client of the institution.
Source: Yolanda Deleveaux, The Tribune
