The Hilton Kingston hotel, situated in the New Kingston business district, has been acquired by Cash Plus Development for US$42 million. The property is one of several assets that Cash Plus Group is expected to list on its balance sheet to be made public by year end. The company said yesterday that payments on this and other acquisitions were up to date. - File

Cash Plus Limited has placed advertisements in the daily newspapers denying rifts with its banks, calling the rumours "malicious falsehoods" perpetuated by vicious detractors.

"At present, Cash Plus enjoys a very good relationship with its banks and continues to conduct its business within normal banking practices," said the half-page ad.

That statement follows circulating rumours that Cash Plus had been given ultimatums by its banks to close its accounts, and that the Bank of Jamaica (BOJ) had issued directives ordering the accounts locked down, said vice-president of operations, Chris Golbourne, speaking last night with Wednesday Business.

'Accounts strong'

"We categorically deny it. This is not true," said Golbourne. "Our accounts are open and continue to be viable and strong."

The BOJ refused to comment on the rumours, but informed sources say no such directive would have come from the central bank as it does not regulate investment activity.

"Cash Plus Limited implores the persons who are engaged in spreading these malicious falsehoods to desist from their vicious activities as we intend to seek all remedies available under the laws of Jamaica," said the ad.

Golbourne added that the company had put its legal team in Jamaica and overseas on alert, but responded in the negative when asked if Cash Plus knew the source of the rumours.

'Self-serving individuals'

He said the talk had originated from "self-serving individuals", but said it was unlikely to be from within the investment/trading community, noting that bringing harm to Cash Plus could end up hurting them.

Cash Plus, which has been in operation for about six years, is rumoured to have billions in its self-styled investment club. The company is still planning to publish its financials, said Golbourne, adding that its balance sheet is expected to be larger than the speculated figures.

"We are sticking to the release of financial statements by year end to show the viability of our company," said the vice-president.

Cash Plus, he said, conducts business in and outside of Jamaica, with 60 per cent of the funds it oversees linked to the international side of the operation and denoted in foreign currency.

The company recently increased its offer rate as high as 18 per cent per month because "we can afford to," he told Wednesday Business.

Billions in assets

So big has the operation grown, Golbourne said, the business has outgrown its operational space in New Kingston and has been forced to process clients on the weekend.

That weekend activity, he volunteered, has been interpreted as a run on the company.

He also told Wednesday Business that the company was current with its payments on its acquisitions, notwithstanding talk to the contrary, adding that the level of rumour-mongering had got "to a ridiculous extreme" and bordering on hostility.

One principal on the north coast who sold out to Cash Plus tells Wednesday Business that the payments are current and the cheques have cleared.

"Clients may call us," said Golbourne. "There is nothing wrong with our company."

business@gleanerjm.com