Allyson Maynard-Gibson, Minister of Financial Services and Investment, yesterday said the government had no control over Mastercard’s decision to withdraw it’s license from Leadenhall Bank and Trust, a decision that came in the wake of an investigation by the Internal Revenue Service (IRS).
In an interview with The Tribune, Mrs Maynard-Gibson said that in it’s regulatory capacity, the circumstances facing the bank are completely beyond the control of the jurisdiction, but are unique to Leadenhall and do not reflect the sector’s ability to operate effectively and efficiently.
She said the IRS put pressure on the bank and its customers because the country’s regulatory body advanced those interests and were prepared to operate within the license of existing treaties and not beyond. regulatory bodies within the financial services sector are currently “putting flesh” on the regulatory process and as the initial draft is formed will circulate the document for industry input.
On Monday, Leadenhall announced that Mastercard Credit Card would withdraw its license to Bahamas-based financial services institution and its Axxess International subsidiaries, effective July 29th.
Source: The Tribune
