JIS News

The Jamaica Deposit Insurance Corporation (JDIC) in collaboration with the Financial Services Commission (FSC) hosted a seminar last week in Clarendon to sensitise depositors and investors about the work of both institutions.
The seminar entitled: ‘Securing Your Financial Safety’ was held recently (March 18) at the Hotel Versalles in May Pen.
Hughlette Jackson, Director of Insurance and Risk Assessment said that the JDIC’s primary role was to manage the Deposit Insurance Scheme and to protect depositors from loss.
She said that this was done by providing insurance coverage to deposit taking institutions including commercial banks, trust and merchant banks and building societies for various types of accounts including savings and chequing accounts, certificates of deposit, foreign currency deposits, managers cheques, money orders and drafts as well as ordinary shares in building societies.
Mrs. Jackson also noted that insurance coverage was provided mainly for small depositors with balances not exceeding $300,000 inclusive of interest.
Under the Deposit Insurance Act, Mrs. Jackson emphasized that the Corporation was obliged to pay all claims within three months following the failure of a deposit taking institution.
Brian Wynter, Executive Director of the Financial Services Commission said that his organization which played a regulatory role to a number of financial institutions, had come into existence less than three years ago and had as its mission to protect the users of financial services in the areas of insurance, securities and pensions by fostering integrity, stability and health of the financial sector.
“The FSC covers a large number of firms and individuals. We oversee the registration, solvency and conduct of over 180 firms and over 1400 individuals in various categories,” he said.
He informed that shortly, the FSC would have additional responsibility for regulating private pension schemes.
Bernard Richards an Investigator at the Commission told JIS News that the regulatory activities of the FSC included the examination of the records of financial institutions routinely or by force; investigation, securing warrants to compel the entities to carry out specific activities, issuing cease and desist orders and issuing warnings of an impending action if corrective actions were not taken. He said the FSC’s regulatory activities also involves closing down entities, applying fines, assuming temporary management of the institution, requiring the Board to give undertakings, suspension, cancellation and revoking of licences.
More than 90 representatives from the various financial institutions and the wider community attended the seminar.

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