HRCU Defends Loan Facility 

A forty-million-dollar loan from Holy Redeemer Credit Union (HRCU) to Belize Electricity Limited (BEL) is drawing fire from Opposition Leader Tracy Taegar Panton. 

However, Holy Redeemer Credit Union (HRCU) is defending the loan facility and maintains that the transaction went through established approval channels and that multiple layers of oversight are in place. 

Panton questioned the arrangement and asked how the facility was approved and the safeguards protecting HRCU members’ savings. 

In a statement issued today, HRCU accused Panton of attempting to “malign” the credit union over its business relationship with BEL. 

HRCU said its relationship with BEL dates back to July 2003, when it began investing in BEL debentures. According to the credit union, those investments have generated $24.4 million in quarterly debenture interest over the years and are included in its audited financial statements presented to members at annual general meetings. 

HRCU said BEL approached the institution in October 2023 seeking additional investment through debentures. Instead, the credit union opted to provide BEL with a loan facility as part of its strategy to expand its lending portfolio. 

HRCU says its transactions are subject to internal controls and due diligence through its Internal Audit, Finance, Compliance and Risk & Controls units. 

Panton argues working people’s savings should never become a financing facility for the government or a government-owned company. 

HRCU maintains that these investments, together with its lending income, allow it to operate its branches and return surplus funds to members through dividends and loan interest rebates. 

HRCU says its members’ money is “safe and secure” and that the institution remains accountable through its existing regulatory and governance framework.