Mark Benda

A default judgment for $6.4 million has been entered in the United States against offshore investment firm Lines Overseas Management Ltd. and an offshore brokerage arm of the Royal Bank of Canada in connection with an allegation of banking and securities fraud.The judgment against LOM and RBC Dominion Securities, of the Turks & Caicos Islands, was entered at the U. S. District Court for the Southern District of Alabama on July 1, 2004 after they failed to defend a civil complaint after being served in December, 2001, according to court records.

Cambridge International Bank & Trust, whose banking license was revoked in Grenada last year, has brought a lawsuit in the United States against its former principal, David Frank Rowe. The action was filed as an Adversary Proceeding at the United States Bankruptcy Court for the Southern District of Mississippi on May 13, 2002.

In one of the latest lawsuits to be filed as part of the on-going Grenada banking scandal, creditors of Cambridge International Bank & Trust claim to have been defrauded of $50 million.Cambridge, which began life as a sub-bank of the First International Bank of Grenada, offered annual interest rates of up to 51 per cent per annum, according to the complaint.