Eight Claimants Take the FSC and AG to Court

Eight claimants, including Anwar Barrow, Aquity Holdings Limited, and six other companies, have filed a constitutional claim against the Financial Services Commission (FSC) and the Attorney General. The claimants allege that the FSC misapplied a merger fee during the consolidation of thirteen companies. They are also challenging the FSC’s policy requiring domestic companies with foreign shareholders to pay for services in U.S. dollars. The claimants argue that these actions violate their constitutional rights to legal protection and protection from discrimination. We spoke with Hector Guerra, one of the attorneys representing the claimants, for more details.

 

Hector Guerra, Attorney-At-Law

“This claim emerged because Aquity Holdings Limited was engaging a merger of thirteen different companies and was required each company that participated in that merger was required to pay a fee. Aquity’s primary grievance is that that was not required under the Company’s Act. It is also alleging other things, for example, when the Company’s Act was passed in 2022 it introduced various new requirements. These included the need for companies, domestic companies with foreign shareholders, even CARICOM shareholders to file documents through what is called a registered agent. It also required companies with foreign shareholders to make payments using U.S dollars. So, the companies are saying, what that amounts to is discrimination, in that we are all Belizean companies but you are putting additional burdens on me to operate in the Belizean market that companies who have solely Belizean shareholders are not required to do. So that is in a nutshell what the claim is about. It really to benefit the financial service area in Belize, because it has been a matter that has been raised repeatedly but it has not been properly litigated. So, what we are saying is this litigation will inure to the benefit of the financial services market.”