Raymond Creed

The liquidators of Euro Bank Corporation have paid a first dividend totaling US$70 million to creditors, representing 80 cents on the dollar to recognized claimants.Liquidators Michael Pilling and Ian Wight, of Deloitte & Touche, told creditors in a letter dated May 13, 2002 to expect a final return of at least 100 per cent of their respective claims.

Cayman Islands police have brought charges against nine people as part of an investigation into the alleged laundering of $25 million through Euro Bank Corp. (in liquidation). Four of the accused are residents of the Cayman Islands - including three former officers of the bank, while the other five live in California.

Although much has been made overseas of a decision by the Grand Court of the Cayman Islands to approve a request to hand over the bank records of Euro Bank Corporation client Kenneth Taves to his US-based Receiver, there is nothing unusual about such a move. The foreign press has been lauding the deal as a break with tradition by Cayman after comments to that effect by Robb Evans, the Receiver for Kenneth Taves, his wife, Teresa; and their businesses J. K. Publications Inc., MJD Service Corp., TAL Services Inc. and their affiliates and subsidiaries.