ECCB 2015/2016 Annual Report

Eastern Caribbean Central Bank Notes to Financial Statements March 31, 2016 (expressed in Eastern Caribbean dollars) EASTERN CARIBBEAN CENTRAL BANK (expressed in Eastern Caribbean dollars)

NOTES TO FINANCIAL STATEMENTS

March 31, 2016

23.

23. Contingencies and commitments ...continued Credit extension to participating governments ...continued The undrawn commitments to participating governments for the current financial year amounts to $295,179,000 (2015: $223,030,000). The details are presented in the table below: 2016 $ 2015 $ Government of Saint Lucia 88,965,000 63,624,000 Government of St Kitts and Nevis 88,637,000 69,165,000 Government of Commonwealth of Dominica 39,740,000 34,495,000 Government of Grenada 35,841,000 12,357,000 Government of St Vincent and the Grenadines 16,285,000 17,572,000 Government of Antigua and Barbuda 16,245,000 17,812,000 Government of Anguilla 5,069,000 4,307,000 Government of Montserrat 4,397,000 3,698,000 Total undrawn commitments 295,179,000 223,030,000 Pending litigation There are three (3) pending legal claims against the Eastern Caribbean Central Bank (the “Central Bank”) for which the likelihood of settlement appears remote. (1) Claim No. GDAHCV2001/0490 initiated by Capital Bank International Limited in 2001 is pending before the Grenada Supreme Court. The Claimant is seeking: (i) A declaration that it is entitled to be admitted to the membership of the Clearing House facility established by the Central Bank pursuant to the provisions of the Eastern Caribbean Central Bank Act 1983; and (ii) An order directing the Central Bank to admit the Claimant immediately as a member of the Clearing House facility operating in Grenada. Although the Central Bank has at all times expressed its willingness to settle the matter on principled terms, if these could be agreed, the Claimant has rejected all settlement proposals to date. At the High Court hearing of the case in September 2008, the court ordered that the trial of the matter be adjourned to a date to be fixed by the Registrar of the High Court on application by any of the parties to the matter. The Minister for Finance, in Grenada has since revoked the banking licence which was granted to Capital Bank International Limited , appointed a Receiver for the Bank and has also filed a petition before the court for the compulsory liquidation of the Bank. Pending litigation here are three (3) pen i le al clai s i st t st r ri tr l a (t e “ tr l f i t e likeli f se tle e t a rs re ote. ( l i . / i iti t l i it i is pending ef re t e renada Supre e ourt. The Claimant is s eking: (i) A declaration that it is entitled to be admitted to the membership of the Clearing House facility established by the Central Bank pursuant to the provisions of the Eastern Caribbean Central Bank Act 1983; and (ii) An order directing the Central Bank to admit the Claimant immediately as a member of the Clearing House facility operating in Grenada. Although the Central Bank has at all times expressed its willingness to settle the matter on principled terms, if these could be agreed, the Claimant has rejected all settlement proposals to date. At the High Court hearing of the case in September 2008, the court ordered that the trial of the matter be adjourned to a date to be fixed by the Registrar of the High Court on application by any of the parties to th matter. The Minister for Fi nce, in Grenada has sinc re oked the banking licence which was granted to Capital Bank International Limited, app i ted a Receiver for the Bank and has also filed a petition before the court for the compulsory liquidation of the Bank. Contingencies and commitments ... continued Credit extension to participating governments ... continued e ra c it e ts t artici ati er e ts f r t e c rre t fi a cial ear a ts t ( : ,030, 00). t il r resente in the table belo :

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ECCB A nnual R eport 2015/2016