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Who financed Phillip Rahaman’s share purchase?

Thursday, April 3, 2014
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Phillip Rahaman

The revelation last weekend that dismissed First Citizens chief risk officer Phillip Rahaman sold 634,588 shares in the bank worth $26.7 million to his cousin Imtiaz Rahaman, a Rahaman family member and five Rahaman companies would not have come as a surprise to anyone who has been following this story.


The transaction is reported to have taken place on the morning of January 14 and Bourse Securities, the brokerage house founded by Subhas Ramkhelawan, represented the interests of both the buyer of the shares, Imtiaz Rahaman, and the seller of the shares, Phillip Rahaman. 


Mr Ramkhelawan, who is the managing director of Bourse Securities, is a long-serving Independent Senator, as well as being the current chairman of the T&T Stock Exchange. While Ramkhelawan is the founder of Bourse Securities, Imtiaz Rahaman is the chairman of the broker and mutual fund company. 


He is also the CEO of Ramco Industries Ltd, the cooking gas company, and several other family-owned companies—at least five of which are now the proud owner of First Citizens shares, purchased at $42.15 each.


So just to ensure that readers get this straight: a prominent businessman, Imtiaz Rahaman, arranges to buy 634,588 First Citizens shares for $26.7 million—using a brokerage company that he chairs—directly from his cousin, Phillip Rahaman, who was a senior executive at a state-controlled bank that was divesting shares in an initial public offering (IPO). The brokerage company was founded by a prominent independent senator, Subhas Ramkhelawan, who is currently the chairman of the local stock exchange.