Dr. Kedrick Pickering. Photo: VINO

In the House of Assembly yesterday Tuesday July 12, 2011, the first, second and third reading of the Bill was done to facilitate its passage without changes. The Standing Order makes provisions for such procedures to take place.

While offering support to the Bill, the seventh district representative said he had a couple of concerns with the main one being that it was important that it be known why the Bill was being pushed forward, the nature of it and the implications thereof and why it is critical to have all the readings ,which is contrary to regular parliamentary practice, done on the same day.

Deputy Premier Dancia Penn

“We are not going to be immune from criticisms from our regional and international neighbours and competitors when we do something of this nature because …some people are going suggest that we are playing catch up … some are going to suggest that it is pressure why we are doing it and there will probably be a lot of insults hurled at us because  it is not good parliamentary practice for us to have to have four first, second and third reading of any legislation all at once,” Dr. Pickering stated during the debate on the Bill yesterday.

He added that from the prospective of good parliamentary practice, it was important that the wider public understands that it was not normal parliamentary procedure, and it is being done because of the nature of the events surrounding the Territory at this point in time.

“I think I know a little about the Global Forum Peer Review Group but here is my criticism Mr. Speaker, I think it would have been very helpful if as members of the House we had been given at least some background information to read on the importance of what it is we are dealing with today. That is a criticism. I think as members of the House we are task with the responsibility of passing substantial legislation … I think it was beholding on those responsible as members of the House we were given the relevant documents to read for ourselves and have the relevant information as to why the Global Forum Review which is meeting in a couple of weeks’ time is happening in this point of time and why we need to be doing what we are doing.”

His second criticism was that it must have be known before that the review was coming up and charged that someone needs to take the blame as to why the Bill was not brought before at an appropriate time.

“Somewhere along the line somebody drop the ball that we have to be put in this position because we must have known at some point in time that this review was coming up and that we had to prepare for it and so somewhere along the line somebody dropped the ball in not ensuring that this Bill was brought to the House at an appropriate time so we wouldn’t have had now to do what we are doing, passing it, first, second and third reading in the same sitting. So against that background Mr. Speaker those are my criticisms and I am doing it deliberately Mr. Speaker because I don’t want us to look like we are a group of people who are in collusion when we are doing these things. I think that all of us have a responsibility to each other to hold each other …”

Hon. Keith Flax

The legislator said what he is really worried about is the team of persons who will be going to the Peer Review would be put in a position where they are going to be forced to defend the integrity of what has been done.

“That’s a major concern of mine. They should not be forced to place in that position and sending a team to represent us and to defend our position based on the integrity of our Financial Services industry full stop. And no one should have any reason to raise any question of what we are doing  and in the context in which we are doing it,” he charged.

He also reiterated a point he continues to make in the House when financial services legislation are brought before it, that there must be a select committee for the oversight of the financial services matter and the public can be well informed on the relevant issues.

The National Democratic Party member pointed out that “60 cents out of every dollar is dependent on what we are doing here right now, the amendment to that legislation, but that is  something that our people must be aware of , they must be aware and the only way is those of us who are sitting in this House at any point of time has the information understand the dynamics of what we are doing and therefore when we sit on the street corners in the next couple of weeks … we can tell our people why financial services is so critical to our daily lives”.

Dr. Pickering further stated that he will continue to petition for a Ministry of Services where the services of the country are given the prominence which it deserves where such issues that concern the fast forwarding of the Bill will be something of the past.

At-Large representative Hon. Keith Flax also stated that he was only seeing the Bill for the first time on the Order Paper which was not fair to him as a representative.

“I cannot stand here and think it is fair. As member of the 7^th said, we as members of this House must understand the dynamics of the subject matter that we are dealing with and while I understand the urgency of the matter to have it passed now, all three readings in one sitting, I feel it’s an injustice, even though it’s covered under standing orders. But I feel we should have had time to discuss it formally as a group before dealing with this matter. I have no problem in supporting it,” he said.

At-Large Representative Hon. Vernon Malone voiced his support of the Bill especially the provision that has now been made for the tribunal to include a legal practitioner.

He said he had spoken about the inclusion of legal practitioners on a number of boards so that it can help with justice that needs to come from those boards.

Another area he was fully in support of is the declaration of interest by members of the Board of the FSC. He said for many years that was the cause for talk and he is glad that it has been placed on the legislation.

Meanwhile, Leader of the Opposition Dr. D. Orlando Smith note that the what comes out of the Global Forum and the IMF are very important in helping the member countries, including the Virgin Islands to measure what is required internationally so that they may not be blacklisted and be able to continue to have the financial services contribute to the economies of their respective territories.

The Bill, according to Hon. Dancia Penn QC, arose out of the reviews of the Territory by the International Monetary Fund (IMF) and takes into account the current accounts of the Peer Review of the Territory by the Global Forum Peer Review Group. It also seeks to further update governance issues concerning the functioning of the affairs of the Financial Services Commission (FSC).
Among the amendments to the Bill is increasing the seven member of the Commission’s board to nine of which one must be an external person and bring the number of external representative to two.

She pointed out that one of the issues that came out in the ongoing Peer Review of the Territory is the need to ensure proper synergy between the exercise of the powers of the authority which is the Financial Secretary and the provisions of the FSC Act, 2001 in relation to information request.

The Bill accordingly amends sections of the Financial Services Commission Act of 2001 and its purpose is to clarify the FSC’s ability to comply with request from any domestic competent or central authority. She said in addition, the Bill also seeks to strengthen the Governance of the FSC by increasing members of the Appeal Board from three to seven which will ensure that sufficient account is taken of any conflicting issues.

The Deputy Premier explained that the matter of the review had only come to Cabinet last Wednesday. In response to Dr. Pickering, she noted that it is legal to have the Bill passed on the same day but not desirable.

She said it is not that the elected government was not doing what they had to do and a lot of things had to be done before the Bill reached the HOA to be passed.

She said they are doing their best they could and since they received the IMF report there has been discussions with the Peer Review group and it was not a simply process.