The long amount of time it's taking for people to get their money may be something that PNMS can't control. HSBC/Panama has had it's share of problems, and if they are the ones handling the financial things for PNMS, this could explain why PNMS' hands may be tied:
04/04/07 , 1586 words, 4007 views
HSBC PANAMA TROUBLES INCREASE
ARE JOSEPH SALTERIO'S DAYS AS A BANKER OVER?
A long list of troubles for HSBC Panama's General Manager Joseph Salterio grew even longer when newspaper "La Estrella de Panama" recently published an article, "Tras la pista de la Romana, S.A.," about how the assets of a family rice milling company were allegedly transferred into another company, defrauding the family co-owners. The complainant is Javier Tejeira, a legislator, and a co-defendant named in the criminal fraud complaint is Joseph Salterio, the general manager of HSBC - Panama and also one of the principals in the company that allegedly received the stolen assets.
Things aren't looking too good for HSBC Panama's General Manager. Sources say that local bank Banistmo turns out not to be worth what HSBC paid for it, which has upset the London headquarters' management. To add insult to injury, hundreds of clients have reportedly closed their accounts with Banistmo since the takeover. Most of them previously worked for the US Panama Canal administration, and their pensions were deposited directly in their Banistmo accounts. However, after HSBC took over, it was announced that Banistmo would no longer accept these direct deposits and instead charge a fee for depositing cheques. Clients were not amused and closed their accounts, even when Banistmo/HSBC hastily reversed the measure.
Expatriates complain about high and unexplained fees
Similarly, expatriates with accounts at HSBC Panama are complaining as well about unexplained high fees and appalling service. One reader closed her HSBC/Banistmo account and explained on an expat bulletin board: "(...) my savings account dropped below $2,500 several months ago and they charged me $10, although they advertise a minimum balance for savings account of $50. I made four trips to the bank and each time I was promised I would be credited the $10 immediately. Didn't happen. I went to the Banistmo again this week. I was told that the "manager" would have to approve the $10 credit. I said, "Get the manager in here." The supposed jefa said "He isn't here." At that point I held up a fairly large check written on a US bank that I had intended to deposit that day and tore it up in front of her. I went back yesterday and told them I wanted to close my accounts with them - savings and checking accounts. The minute I sat down, the person at the desk told the $10 had been credited. I said that I didn't care; that it had taken me four trips and a lot of time to screw around for the $10 they charged me in error."
Another expatriate wonders: "I found out that everytime I make a deposit to my HSBC savings account, they charge me a service fee. We were never told about this fee when we opened the account so we were not thrilled to see such charges. We thought we got it made in regards to banking here in Panama. We were allright with the 20 days requirement so we thought we would just deposit our US bank check a month ahead of need time. But in one month, they charged us $8.35 for such fees. It's not that much, but hey, in one year that would be more than $100. I really hope that there is a bank here in Panama City that could give
a better service."
And the third example out of many reads: "I have been a customer of HSBC in England and Panama. In England they were no worse than any other bank just OK in my book but no great shakes. In Panama they are a disaster. They took two months to open my account by which time I had transferred my money to another bank. They "approved" my mortgage two years ago, I am still waiting. I paid $850 worth of electricity bills on the internet which vanished into cyberspace and over a year later I am still waiting to get my money back. They never send my credit card bill on time and charge $25 if I pay late."
How HSBC's Salterio is sinking asset protection in Panama
The above comments by readers would be normal criticism by consumers in other countries, but in Panama similar writings have prompted HSBC to put the complete financial service industry in jeopardy.
As we reported earlier, HSBC Panama and HSBC USA sued former client Peter Gordon, an Australian/Canadian retiree living in Panama, because of fierce criticism of the bank which he posted on a Yahoo online group. But they didn't just sue, they also sequestered all assets in a Private Interest Foundation. These foundations are promoted by Panama's financial institutions as vehicles to protect assets against (frivolous) lawsuits and other mishap, and obviously the effortless piercing of such a foundation by HSBC has caused an uproar among other users of such structures.
Charly GarciaHow was this allowed to happen? Reading the case file, one stumbles across some familiar names in the US expatriate community in Panama. There is, for example, Kevin Bradley, an insurance broker and leading figure in the local Alcoholics Anonymous chapter, who calls himself "what a guy." There is also one Charly Garcia, a society dentist and Vice-President of The Panama Council of the Navy League of the United States. And there is of course Joseph Salterio, the banker, acquainted with both and also well known in Panama.
All figures with some stature, one would think. But, reading the file, it is hard to escape the impression that the case results from a plan hatched by a bunch of High School dropouts during a night of heavy drinking.
How did HSBC and Joe Salterio learn about the critical messages posted by former client Peter Gordon in the first place? Documents filed by HSBC as evidence show that dentist Charly Garcia forwarded them to Salterio's personal email address, together with the message: "For your information and use. [emphasis added] Posted today in Americans in Panama."
Sapo number one thus having done his work, it was time for sapo number two to enter the scene: a letter was written, edited and then signed by Kevin Bradley, referring to exactly those messages that Charly Garcia had already forwarded to Joe Salterio. In the letter, Bradley demanded immediate closure of his account. HSBC's General Manager Salterio replied, again referring to Gordon's messages which Charly Garcia had already forwarded to him, and personally took care of closing Bradley's account with just over $400 in it - unheard of in banking circles.
The five million dollar lawsuit for libel was filed, and a request was made to sequester the assets of the foundation. In that request, HSBC's lawyer Hector Infante conveniently misquoted an article from the law that regulates these foundations. He left out half a sentence (... "de los fines y objectivos de la fundacion..." for the connoisseur), and it now loosely appeared as if such a sequester would indeed be allowable. The judge, in his turn, never checked and approved the sequester.
Shortly thereafter, twelve agents showed up at Peter Gordon's residence and took away all furniture and other belongings. HSBC's lawyer told Gordon not to worry: the case could be settled right there if he would just sign on a one million dollar settlement. Gordon refused. Then a settlement of $500,000 was offered - still not bad for sending some emails and a couple of days work - but Gordon refused again.
The foundation's lawyer, Omar Selano of Aleman & Herrera, appealed against the sequester order and won. Then HSBC appealed that decision and won, with a decision by magistrate Eva Cal that insiders suggest may be the result of wheeling and dealing between HSBC and the court and which lawyers unrelated to the case described to us as "weird."
Obviously the foundation's lawyers then appealed that decision again, and now the case is awaiting a decision by the Supreme Court.
Or, more exactly: The future of the Panama Private Interest Foundations - there are almost 24,000 of them under the current law - lies now in the hands of Supreme Court Magistrate Carlos Cigarruista. If he allows the sequester to stand, that will most likely provoke an international financial scandal.
It's hard to imagine that, with all these cases being picked up by the local and international press, Salterio would be able to represent and lead HSBC bank in Panama and have the bank for example participate in lucrative deals to finance the expansion of the Panama Canal. The London HSBC headquarters already inquired if Peter Gordon and the foundation would agree on each party paying his own legal fees and withdrawal of the case. That offer was also refused.
"In Panama, they're not used to a foreigner who fights back," lawyer Omar Selano told The Noriegaville News. "Generally, if something like this happens to Panamanians, they'll start to negotiate. But my client won't. As soon as the assets are released there will be a lawsuit against HSBC and probably others, and this may cost them a lot of money," Selano said.
Permalink 21 comments
AI
