Editorial: Reputation damagePOSTED: 05/26/14 3:15 PM
The risk of reputation damage for the bank carries more weight than Francesco Corallo’s companies’ interest in having bank accounts. That ruling from October of last year signaled the end of a 16-year relationship between Atlantis World Management and the RBC bank. Now Corallo’s attorneys are attempting once more to have the relationship restored.
The reason? No other local bank wants Corallo’s companies as its clients. If this situation continues, it will force the companies to create its own cash economy, whereby huge payments to for instance Gebe will become suspect due to their sheer size.
We appreciate the arguments of RBC – there has been a seemingly never-ending supply of negative news about Corallo in the media – but on the other hand, the casino mogul’s attorneys have a valid point when they say out that their client’s companies are legal and that Corallo has never been convicted anywhere for anything.
It would be awkward, to say the least, if the companies fail to find another bank in St. Maarten and that as a result, between 350 and 400 employees would lose their jobs.
We do not know how the investigation into the alleged links between Corallo and Curacao’s former Prime Minister Gerrit Schotte will end – but that is beside the point.
If no bank steps up to the plate, the Central Bank will have to intervene and find a solution.