By
Mayowa Adebajo
April 11th, 2024
According to the AG, the comments misrepresented the timely action taken by the Securities Commission and used inaccurate allegations.
Bahamas Attorney General, Ryan Pinder, has defended the quick action of the Securities Commission of the Bahamas following the FTX collapse. After placing FTX Digital Market in provisional liquidation, the commission moved to secure the assets of the company.
According to Pinder, the regulators’ secured the assets on behalf of and for the benefit and restitution of clients and creditors of FTX.” Pinder who also doubles as the Minister of Legal Affairs revealed his position on the subject during a Facebook Live session. Pinder advised international authorities to be prudent and exercise restraint in making public commentaries.
Regulators’ Action in FTX Interest Despite Allegations
While defending the action of the Securities Commission, Pinder noted that the comments by FTX’s new CEO, John Ray were uncalled for and extremely regrettable. Recall that Ray and FTX’s attorneys filed a motion accusing The Bahamas’ government of ordering “unauthorized” transactions on its accounts.
According to the AG, the comments misrepresented the timely action taken by the Securities Commission and used inaccurate allegations. The commission explained its actions were taken in the interest of FTX’s clients.
The AG also noted the country’s regulatory authority had already taken further measures in the developing case. However, he noted that the Commission was withholding further information on that purposefully. Pinder believes sharing the information may jeopardize some aspects of the ongoing investigations.”
Bahamas Attorney General: FTX Collapse Won’t Affect Economy
In 2019, Hurricane Dorian affected The Bahamas and in 2020, COVID-19 restrictions hit the tourism-based economy hard. Following the FTX collapse and the loss of many jobs, there are fears there may be a larger impact on the economy. But Pinder is more optimistic.
Noting a recent Standard & Poor ratings for The Bahamas, Pinder stated that the island country had stable economic projections, based on a recuperating tourism sector. According to UNWTO, the volume of inbound tourists to the Bahamas increased by about 17% in 2021. The number may increase further in 2022.
“Standard and Poor has projected a stable outlook for our economy resting in part on the assumption that there will be no material adverse impact on the Bahamas from the worldwide collapse of FTX,” Pinder concluded.