Silence on the Olint’s case against NCB

Almost one week later, we are yet to hear when the the ruling on injunction granted by the courts prevented NCB from closing OLINT’s banking accounts would be available. In meanwhile a lot has been happening in OLINT’s world.

The David Smith led OLINT outlined new procedures and policies. The procedures first outlined that persons needed to update their online profile. Those that had made request for withdrawals via e-mail needed to complete the request online and ensure that the request made matched the request made via email or else their claims would not be processed. It appears only OLINT members received the notification and that OLINT TCI members will soon be notified.

Later OLINT released their new encashment policy that members must be signed by May 31, 2008 if they intend to remain members of the Club. In that policy, OLINT outlined new terms, In summary,

  • limit on the number of accounts, joint or single, on which and account holder’s name can appear to 3
  • limit on the number of withdrawals per month
  • withdrawals categories and the respective waiting periods that varied from 30-105 days.
  • discretionary limit where if withdrawals for the month exceed more that 25% of funds under management enchashments payments could be reduced and in practice denied.
  • emergency rules governing withdrawals for medical reason etc. 

The “25% rule”, is significant and could prove problematic.

  1. Given that OLINT does not release audited financial statements, no one will really know whether or not that limit has been broken. Who will be able to actually independently verify that the 25% has been broken.
  2. It could become the source of a legal challenge, as members could demand to be shown evidence, independently, that the 25% limit has indeed be broken given that have a written contract.

Club members should consider carefully and get legal advice on this one.

On May 21, we should have heard when the ruling on injunction would be available. We are still waiting on the courts.

Related: Olint and NCB back in Court

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