Earlier today unconfirmed reports stated that Clico Investment Bank one of the largest employers and 51 percent stakeholder in Trinidad and Tobago's strongest bank, may have taken on heavy debt to spur several ambitious projects and investments and may be facing liquidity issues which has caused concerned leading investors to withdraw large sums from CIB. It was believed that the government would step in to manage the challeging portfolio of CIB.

A press conference was later headed up by CL Financial boss Lawrence Dupree, Minister of Finance Mrs. Karen Nunez-Tesheira and Central Bank Governor Mr. Ewart S. Williams, to clarify the status of Clico Investment Bank and the Government's involvement. The key points that arose from the press conference are listed below.

Key points from the press conference that subsequently took place after the speculation broke

The government involvement is a pre-empted action to prevent a crisis.

High debt is wrapped up in real estate locally and abroad.

CL Financial has 100 billion of assets throughout the Caribbean and other parts of the world.

Central Bank will immediately take control of Clico Investment Bank and CMMB.

Clico Investment Bank banking Licence will be revoked.

The government will sell Clico Investment Bank high profile shareholdings (Republic Bank) to stand security for the debts of Clico Investment Bank.

Clico Investment Bank and CMMB will be transferred to First Citizen's Bank.

Government committed to provide additional funding as needed to CLICO.

Government will also protect Clico insurance policy holders.

It's a difficult but Managable problem.

Government is asking for the support of depositors, policy holders and other banks to cooperate with the Central Bank of Trinidad and Tobago.

Better risk management are policies needed.

Clico Investment Bank (transferred to First Citizen's Bank), British American, Clico will be under close watch by the Central Bank.

An International firm will be contracted to help manage the restructuring of Clico Investment Bank.

Depositors assets will not be at risk, we will weather this storm, and our financial sector will remain healthy.

There is a new financial institutions act and the insurance act will be updated soon.

First Citizen's Bank was selected to take over selected companies in the CL Financial portfolio.

During the coming week, customers will be guided as to how to deal with withdrawals and are asked not to visit Clico Investment Bank or First Citizen's Bank.

No confirmation of the total cost of the bailout was given.

The lialibity structure of Clico is approximately 16 billion.

An international firm is coming to Trinidad and Tobago to value CL finiancial assets.

Central bank going through the books of Clico Investment Bank.

Another problem that got Clico Investment Bank into that position was the high interest rates they were offering to depositors (to get liquidity).

Press asked to be responsible in reporting the story and not create panic, and they need the public to have confidence in the Central Bank and the regulators.

Clico Investment Bank would cease to exist in a while.