by Linda Straker
- Section 5 of the Grenada Development Bank Act states who is prohibited from receiving sub-loans
- GDB does business with the citizens of Grenada who meet bank’s criteria for financial services
- Minister Williams, a GDB customer pre his involvement in public life continues to conduct business with the bank
The legislation which establishes the Grenada Development Bank (GDB), prohibits some people from receiving sub-loans from the financial institution. However, Prime Minister Dickon Mitchell said that nothing is wrong with politicians or public officials receiving a loan from the entity, because they are citizens.
“The Grenada Development Bank does business with the citizens of Grenada. A politician or a public official is also a citizen of Grenada and if that politician, citizen or public official meets the bank’s criteria for financial services from the bank, that citizen, that public official, that politician in my mind is entitled to have access to the bank’s services like any other citizen of Grenada,” the Prime Minister said in an interview on Sunday.
Section 5 of the Grenada Development Bank Act — originally enacted in 1976 and with amendments during 1977, 1980, 1985, 1991, 1993, 1997 and 2008 — under the subtitle “Prohibition relating to sub loans” states who is prohibited from receiving sub-loans. “The bank shall not make sub-loans out of the proceeds of the loans to a director of the bank, to a member of the legislature of the State of Grenada or to any company control by any such director or member of the legislature or to the close relatives of any such director or to a member of legislature.”
The Prime Minister confirmed that Andy Williams, who became a member of the legislature in June 2022 was a customer before becoming a Member of Parliament (MP), and he has continued to conduct business with the bank despite his current portfolio as Minister for Mobilisation, Implementation and Transformation and MP for St George South.
“As far as I am aware, Minister Williams has been a customer of the Grenada Development Bank pre his involvement in public life. That is factual, that is clear and his relationship with the bank has continued. The bank and my government are not using the bank to finance no personal loans of any minister,” the Prime Minister said.
