Tue | Jan 21, 2020

World Wise payouts

Published:Friday | September 5, 2008 | 10:01 AM

World Wise Partners is today expected to start making payouts to some of its clients on their principals.

The company was expected to start making the payouts last month when it reopened following a two-month suspension, however it failed to do so.

On Tuesday, World Wise in a communiqué to its clients said it had to undertake a special payout plan without notice because of a run on its offices.

It also said it had to put in place what it calls huge administrative resources to deal with the demand.

World Wise said the payouts would be made in two stages.

It said under Stage one, disbursement will be made on principals while Stage 2 would see the payment of profits.

World Wise said this system would ensure that each client recovers his/her principal first.

While the company is expected to start the payouts on principals today, it has not said when the profits would be paid.

World Wise said it would temporarily retain the profits to allow for continued foreign exchange trading.

More than a month ago the Financial Services Commission issued a cease and desist order on World Wise barring it from collecting further money from the public.

That order is still in force, but it does not prohibit the investment club from making payouts.