Two Cayman Islands Monetary Authority board members appointed earlier this year are unable to serve their three-year terms for various reasons, and replacements will have to be found, Financial Services Minister Wayne Panton confirmed Monday.
Mr. Panton said neither Brian Murphy nor Patricia Estwick could serve the terms to which they were appointed in July, largely due to concerns about the board service from their respective employers or companies.
Mr. Panton said the functions of the CIMA board are still being carried out as usual and that the board, which governs the territory’s lone financial regulatory agency, maintains a quorum at all times.
However, the minister said he was looking for someone, in particular in the absence of Mr. Murphy, who has served as the director of the board of Greenlight Reinsurance since 2008, to provide some insurance industry expertise to the board.
“We need people who have significant insurance expertise, who understand the market, understand the business, ideally someone with reinsurance expertise,” Mr. Panton said.
The CIMA appointments, approved by Cabinet on July 21, retained five members, including professor William Gilmore and Judith Watler through mid-July 2018. Also, current board member Harry Chisholm has been designated deputy chair through mid-July 2017.
New board members, including chairman Grant Stein and Gus Pope, will continue to serve their terms as well, Mr. Panton said.
The CIMA board can have as many as nine members, but Minister Panton said that many at all times are not required to keep operating.
Mr. Panton acknowledged that the absence of the other newly appointed members would leave the CIMA board “a little bit thin” at the moment. He hopes to have new members appointed within the next two months.
The CIMA board began meeting in early June and since the appointment of its new members to discuss a number of issues related to the FIFA investigation and how it could potentially affect Cayman’s financial services industry.
The board brought in an international accounting firm to assist the monetary authority with a forensic review of any possible local bank transactions connected to the U.S.-based indictments of FIFA officials, including any transactions potentially linked to Cayman’s Jeffrey Webb and former Cayman resident Costas Takkas.
Mr. Stein has maintained that allegations of conflicts in relation to the FIFA investigation would stay well away from Cayman’s financial services industry regulator during his tenure.
The issue of conflicts arose in early June when it was revealed that CIMA Managing Director Cindy Scotland’s husband, former government minister Mark Scotland, had been working since last year for the Cayman Islands Football Association under its president, Webb, and was in Switzerland with Mr. Webb at the time of his arrest on May 27. Mr. Scotland has since left the football association.
In addition, former government minister Cline Glidden’s wife, Gloria, serves as deputy head of CIMA’s banking division. Mr. Glidden was also in Switzerland with Webb for FIFA’s annual meeting prior to the arrests and had been working for CONCACAF on the creation of a regional football dispute resolution court.
Mr. Stein said there had been no allegations of wrongdoing against either Mr. or Mrs. Scotland or Mr. Glidden stemming from the FIFA probe, but he said the formation of a separate CIMA internal committee should quiet concerns over apparent conflicts.
“Anybody that has any connections to anyone in the [U.S. investigation] … has been recused,” Mr. Stein said this summer.
The CIMA chairman had no comment on the pending appointment of additional board members and deferred all questions in the matter to Minister Panton.