The operations of the Dominican Republic-based company, Madroka Anguilla Lottery Ltd., have been suspended by Anguilla’s Financial Services Commission. The Madroka Anguilla Lottery, which opened its doors in Anguilla in May of 2018, and which has lottery outlets all across the island, has been cited by the FSC for irregularities in its financial statements.
The FSC suspended the company’s operations until it can present its financial statements in an audited format. It is reported that the FSC has been sending formal communications to the company for some time now, requesting audited financial statements of the Madroka Anguilla Lottery from the time of its establishment to its current operations.
The FSC has also reported that Madroka Anguilla Lottery has hired local accounting professionals to prepare the necessary financial statements, but that company has not been able to provide its Balance Sheet to the auditors in accordance with Generally Accepted Accounting Principles for the auditors’ review and assessments.
During Last Monday’s Government Press Conference, Radio Anguilla’s Chief Information Officer, Ms.Felicia Hennis, posed a question to the Honourable Minister of Finance, Dr. Ellis Webster, regarding the interruption of the company’s operations.
The Premier responded with the obvious, stating: “I received a letter from the Madroka Anguilla Lottery stating that the Financial Service Commission had suspended its operations until it can provide audited financial statements. This is something that is required by regulations, and since the FSC is the regulatory body for the Lottery, providing audited statements to the FSC is part of its compliance.” Dr. Webster said that in the letter Madroka did admit that the way it produced its financials to the FSC was not in keeping with the standards required by the FSC’s regulations.
Asked by Ms. Hennis if he would be able to tell how much money the Government collects from lotteries in Anguilla, the Premier responded that he has no idea as of now: “We have no idea,” he said, “and that is the reason why these audited financial statements are essential. We have to certainly give account in terms of anti-money laundering, and we must be able to combat financial terrorism, but we cannot do that when we do not have access to the information required.”
Meanwhile, the Madroka Anguilla Lottery Ltd. stated that despite the suspension, local employees will continue to be employed. However, during the said Government Press Conference on Monday, the Honorable Minister of Home Affairs, Mr. Kenneth Hodge, stated that he had, at that time, received word that some employees of Madroka have had their contracts terminated. “I can’t speak to whether this is true or not,” he said, “but I would encourage such employees to visit the Department of Labour to receive advice on their rights and privileges under the Law.”
