FIJI’S CAPITAL MARKET THREATENED BY JUNTA

The raiding of one of Fiji’s Stock Exchange publicly listed company on Friday has rocked Fiji’s Capital Market.

Our WFC agents took time to speak to some FHL Provincial shareholders over the weekend to gauge their opinion and it is obvious that all were not happy about FICAC’s interference in Fijian Holdings Limited head office. They also say that they will be calling up their shares and will sell them as soon as possible as they are no longer certain about their investment in FHL and the stock market.

FHL is a restricted stock meaning that only indigenous Fijians listed on the Vola ni Kawabula can buy FHL shares. According to the FHL website, the company was formed to bridge the commercial gap between indigenous Fijians and other races.

But the most successful indigenous Fijian company is now under threat, and because it is a listed company on the South Pacific Stock Exchange, FICAC’s questionable raid could very well crumble not only FHL but Fiji’s Capital Market as a whole.

The signal that this junta through FICAC is sending out to members of the public who buy and sell company shares at the stock exchange is that they are a rule to themselves and that they have the power to just walk into these listed companies offices and remove any file and information they want. Pretty scary for people who have invested their hard-earned savings in these listed companies with no guarantees that their investment is safe from illegal terrorists like FICAC and the illegitimate administration that created it.

In overseas stock exhange, something drastic like a FICAC raid on any of their listed company will result in a massive share run with shareholders selling off their shares under a state of panic. Many multi-million dollars companies have collapsed from such an activity and WFC can only hope that the same will not happen to FHL.

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