The National Insurance Scheme (NIS) has begun what it said is a “restructuring” process that could see it being able to recover the funds it invested in the Berbice River Bridge Company.
The Berbice River Bridge tool booth
NIS Chairman, Dr Surrendra Persaud, who is also the new Chairman of the Berbice Bridge Company Inc (BBCI), said the insurance scheme is the largest investor in the Bridge project, and has taken up the responsibility of “leading the bridge management through a restructuring process,” to enable it to hopefully get back its monies.
He said as it is now, the money received from NIS and other investors cannot service the Bridge since it also started functioning a few years later.
“So right now the Bridge is in a position where it is unable to satisfy itself. So the NIS is leading the Bridge management through a restructuring process and while it is somewhat challenging, it is hoped that it is done and within the first quarter of next year…. NIS is able to receive its funds from its investments,” Persaud said on Thursday at the celebration to mark NIS’ 47th anniversary.
Reports from a forensic audit conducted into the operations of the NIS earlier this year, showed there were two particular “major high risk investments” that were said to be potential losses to the scheme; the $5.1 billion investment into CLICO and the $2.5 billion investment in BBCI.
The ownership structure of BBCI is made up of ordinary share capital of $400 million owned by private investors and preference shares of $950 million owned by NIS.
