Central Bank Governor Jwala Rambarran will likely challenge any unjustified move against him, it was confirmed yesterday
And at least one big business enterprise — Massy — which was threatening legal action on Rambarran’s recent revelations about T&T’s mega Forex users, is on hold, clearly awaiting action from Government on Rambarran.
Expectation of moves against the governor have been developing following last weekend’s scathing statements by Prime Minister Dr Keith Rowley on Rambarran’s modus operandi.
Rambarran had been negatively spotlighted on the Forex shortage issue and for announcing a recession without telling Government first. The situation was further inflamed after he revealed who was consuming the most Forex in T&T, particularly big businesses. Reaction came in the form of several businesses’ complaint to Finance Minister Colm Imbert, alleging Rambarran “may have been in breach of the Central Bank Act”. T&T’s Chamber of Commerce expressed similar sentiments. Imbert advised his legal team to examine whether there was indeed a breach.
Government has been stockpiling legal advice on the situation. Imbert last week updated Cabinet on advice received. Cabinet reportedly sought advice on whether Rambarran’s revelations constituted “misconduct in relation to his duties.”
The Central Bank Act (section 12) outlines ten grounds that can be used to terminate the appointment of a Governor, deputy Governor or director. Section 12 (e), allows the President to terminate appointments if the person is “guilty of misconduct in relation to his duties.”
It was reported Cabinet also sought legal advice on whether the President has the discretion to reject, modify or delay a Cabinet directive on the governor’s termination. Cabinet was advised the convention is that heads of state obey the wishes of the Government of the day.
Following last week’s Cabinet meeting where the issue was discussed, Rowley, last Saturday, said the situation was diminishing public confidence in the Bank’s ability to conduct the public’s business in finance and diminishing public confidence in Rambarran. He added if the Government allows this to continue unimpeded, it will diminish the population’s confidence in the Government also.
Rowley noted laws governing conduct of Central Bank affairs and that Imbert was examining if Rambarran breached that. He said if Rambarran “ends up” being removed, it would be because of his “own series of reckless, illegal actions.”
Government has subsequently been mum on if it can work with Rambarran or is prepared to continue to.
Yesterday, Central Bank communication officer Charlene Ramdhanie had no comment when the T&T Guardian asked about Rambarran’s response to Rowley’s statement, whether he was receiving legal advice on the matter and other aspects.
Amid businesses’ complaints, Massy president Gervais Warner, had claimed Rambarran’s disclosure, was a breach of confidentiality and added they were exploring legal options in the matter. He said the company ‘s legal advisers found Rambarran “really shouldn’t have disclosed the information. Warner claimed some parts of Central Bank law was breached and he would “sit back and wait to see what officials do about this.”
Yesterday after the T&T Guardian contacted Warner’s office on whether Massy was proceeding with legal options, spokesperson Candice Ali replied via email,“ Mr Warner has confirmed that at this time Massy will not be discussing the matter further.”
he didn’t reply whether Massy would be proceeding with legal action at all.
On whether the Chamber would initiate any legal action against Rambarran, Chamber president Robert Trestrail said, “Not at all. We’re an association, our name wasn’t called in (revelations). The Chamber articulated its view and we’ve noted the comments of others- (but) our view hasn’t changed.”
Yesterday the T&T Guardian was told Rambarran is “calm, and confident,” watching the situation and would likely challenge any “unjustified move against him made on a shallow basis,” and against the independent office of governor.
Information also is that the situation was being monitored to see if any move develops over “coming weeks.”
There is speculation former Central Bank deputy governor Terrence Farrell may be among frontliners for the post if Rambarran is removed.