13th July 2021, 15:42
A Regulatory Settlement Agreement between has been entered into between the GFSC and local lawyer Nick Cruz following an investigation into the collapse of Enterprise Insurance Company.
The Agreement states that Mr Cruz has accepted a sanction for falling short of regulatory expectations, although the GFSC says it hasn't made any adverse findings in relation to his integrity.
In a separate statement, Mr Cruz has agreed to withdraw a defamation claim against the Gibraltar Financial Services Commission, after the FSC agreed to contribute £90,000 to his legal costs.
Nick Cruz was the Non-Executive Chairman of the collapsed Enterprise Insurance Company.
The Regulatory Settlement Agreement addresses shortcomings that Mr Cruz recognises exist in respect of his role as a Non-Executive Director, namely, he failed to provide the Executive Directors with adequate challenges, which in the GFSC’s view falls short of its regulatory expectations and for which he has accepted a sanction.
In 2016, the FSC said it had reason to believe it had been misled by Enterprise's board as to its true financial position - statements Mr Cruz alleged in the Supreme Court were defamatory of him.
In the joint statement, the FSC denies that the statements referred specifically to Mr Cruz or any other individual, and therefore deny they were defamatory - adding it has not made any adverse findings about and is not disputing Mr Cruz's integrity.
In order to bring the matter to a close, the FSC says it's agreed to contribute to his legal costs, with Mr Cruz withdrawing his defamation claim against the FSC, its former CEO Samantha Barrass, and former Legal Director Peter Taylor.
And in a personal statement, Mr Cruz says he is pleased that he and the GFSC have resolved matters. He describes the settlement as a vindication, and says it could not have been possible without the support of his wife and immediate family, as well as his legal team. He says he will now look forward to working on his own legal profession having put this behind him.