---

       T R O U B L E D   C O M P A N Y   R E P O R T E R

                 L A T I N   A M E R I C A

          Wednesday, February 26, 2020, Vol. 21, No. 41

                           Headlines



A R G E N T I N A

ARGENTINA: Default Rocks Brokers Who Sell Soy to the World
ARGENTINA: IMF Managing Director Issues Statement on Country


B R A Z I L

PETROLEO BRASILEIRO: Fitch Affirms BB- LT IDRs, Outlook Stable


J A M A I C A

CARICEL: Employees Concerned About Police Raid at Company Office


M E X I C O

CREDITO REAL: S&P Affirms 'BB+' Global Scale ICR, Outlook Negative
CREDITO REAL: S&P Assigns 'BB+' Rating on New Sr. Unsecured Notes


P U E R T O   R I C O

STAR PETROLEUM: Hires Luis Carrasquillo as Financial Consultant


T R I N I D A D   A N D   T O B A G O

CL FIN'L: Shareholders Have No Right in Assets, T&T Gov't. Says
TRINIDAD & TOBAGO: FATF Removes Country From Grey List


V E N E Z U E L A

PETROLEOS DE VENEZUELA: Company Revamp Ordered by President

                           - - - - -


=================
A R G E N T I N A
=================

ARGENTINA: Default Rocks Brokers Who Sell Soy to the World
----------------------------------------------------------
Globalinsolvency.com reports that in mid-August, Argentina's
farmers, en masse, ran out of patience. They wanted the cash they
were owed and wanted it fast, Bloomberg News reported, according to
Globalinsolvency.com.

Days earlier, leftist politician Alberto Fernandez had scored a
resounding primary victory that made clear he'd win the October
presidential election, and speculation was starting to swirl that
he'd impose new taxes, the report notes.

One after another, the farmers called their grains brokers to lock
in prices on the soybean cargoes they had already turned over and
collect the proceeds, the report relays.  This set off a wild
scramble for cash in the community of brokerage houses that line
the waterfront in Rosario, the port city that has long served as
the grains trading hub for the world's top soy-meal-producing
nation. It felt, some said, like a bank run, the report discloses.
And in the end, it toppled one of Rosario's biggest dealers, the
report adds.

                       About Argentina

Argentina is a country located mostly in the southern half of South
America.  It's capital is Buenos Aires. Alberto Angel Fernandez is
the current president of Argentina after winning the October 2019
general election. He succeeded Mauricio Macri in the position.

Argentina has the third largest economy in Latin America.  The
country's economy is an upper middle-income economy for fiscal year
2019 according to the World Bank.  Historically, however, its
economic performance has been very uneven, with high economic
growth alternating with severe recessions, income maldistribution
and in the recent decades, increasing poverty.

Moody's credit rating for Argentina was last set at Caa2 from B2
with under review outlook. Moody's rating was issued on Aug. 30,
2019.  S&P Global Ratings, in December 2019, raised its foreign
currency sovereign credit ratings on Argentina to 'CC/C' from
'SD/D'.  S&P's outlook on the long-term sovereign credit ratings is
negative. Fitch Ratings, in December 2019, upgraded Argentina's
Long-Term Foreign-Currency Issuer Default Rating to 'CC' from 'RD',
and its Short-Term Foreign-Currency IDR to 'C' from 'RD'.  DBRS,
Inc. meanwhile downgraded Argentina's Long-Term and Short-Term
Foreign Currency - Issuer Ratings to Selective Default (SD), from
CC and R-5, respectively, also in December 2019.


ARGENTINA: IMF Managing Director Issues Statement on Country
------------------------------------------------------------
Ms. Kristalina Georgieva, Managing Director of the International
Monetary Fund, met with Mr. Martín Guzman, Economy Minister of
Argentina on the sidelines of the G-20 Finance Ministers and
Central Bank Governors Meeting in Riyadh, Saudi Arabia. Ms.
Georgieva issued the following statement at the conclusion of the
meeting:

"Minister Guzman and I had a very fruitful exchange of views on the
country's challenges, and the path forward to ensure a more
sustainable and inclusive growth for Argentina.
I commended the efforts thus far, under the leadership of President
Alberto Fernandez, to put in place a set of policies to stabilize
the economy and to reduce poverty.

"Building on the findings of the recent IMF staff mission to Buenos
Aires, we also discussed the authorities' plans to secure a
sustainable and orderly resolution of Argentina's debt situation.
In this context, I welcomed the Argentine authorities' commitment
to continue to deepen our engagement including through an Article
IV Consultation and steps toward a Fund-supported program in the
future. The modalities of these next steps will continue to be
discussed.

"As I have said from the start, our commitment and focus are with
Argentina and its people. We want to see the Argentine economy
recover in a durable manner, poverty to be reduced and Argentineans
prosper."

                       About Argentina

Argentina is a country located mostly in the southern half of South
America.  It's capital is Buenos Aires. Alberto Angel Fernandez is
the current president of Argentina after winning the October 2019
general election. He succeeded Mauricio Macri in the position.

Argentina has the third largest economy in Latin America.  The
country's economy is an upper middle-income economy for fiscal year
2019 according to the World Bank.  Historically, however, its
economic performance has been very uneven, with high economic
growth alternating with severe recessions, income maldistribution
and in the recent decades, increasing poverty.

Moody's credit rating for Argentina was last set at Caa2 from B2
with under review outlook. Moody's rating was issued on Aug. 30,
2019.  S&P Global Ratings, in December 2019, raised its foreign
currency sovereign credit ratings on Argentina to 'CC/C' from
'SD/D'.  S&P's outlook on the long-term sovereign credit ratings is
negative. Fitch Ratings, in December 2019, upgraded Argentina's
Long-Term Foreign-Currency Issuer Default Rating to 'CC' from 'RD',
and its Short-Term Foreign-Currency IDR to 'C' from 'RD'.  DBRS,
Inc. meanwhile downgraded Argentina's Long-Term and Short-Term
Foreign Currency - Issuer Ratings to Selective Default (SD), from
CC and R-5, respectively, also in December 2019.




===========
B R A Z I L
===========

PETROLEO BRASILEIRO: Fitch Affirms BB- LT IDRs, Outlook Stable
--------------------------------------------------------------
Fitch Ratings affirmed the long-term foreign currency and local
currency Issuer Default Ratings (IDRs) and outstanding debt ratings
of Petroleo Brasileiro S.A. (Petrobras) at 'BB-'. The National
Scale rating has been affirmed at 'AA(bra)'. The Rating Outlook is
Stable.

Fitch has also revised its assessment of Petrobras' stand-alone
credit profile (SCP) to 'bbb' from 'bb+', reflecting the company's
improving capital structure. The Stable Outlook for Petrobras's
foreign currency and local currency long-term IDRs reflects the
same Outlook for Brazil's sovereign rating.

Petrobras' ratings are capped by Brazil's sovereign ratings
(BB-/Stable) due to the government's strong ownership and potential
control, and the company's strategic importance to the country.
Petrobras' dominant market share in the supply of liquid fuels in
Brazil coupled with its large hydrocarbon production footprint in
the country exposes the company to government intervention through
pricing policies and investment strategies. Petrobras' ratings
reflect the very strong support incentives Brazil has toward the
company as a result of its strategic importance for the country.
Fitch considers the linkage between Petrobras and the government to
be strong as a result of the Brazilian government's majority
ownership and control of the company, as well as the evidence of a
strong support track record.

KEY RATING DRIVERS

Capped by the Sovereign: Petrobras' ratings are equalized to those
of Brazil's sovereign as a result of the control the government may
have over the company's strategies and investments in the future.
Petrobras' ratings continue to be capped by those of the sovereign
despite the company's material improvements in its capital
structure and effort to isolate itself from government
intervention. By law, the federal government must hold at least a
majority of Petrobras' voting stock and currently owns 60.4% of
Petrobras' voting rights, directly and indirectly, and has a 42.6%
overall economic stake.

Improving SCP: Petrobras' SCP revision to 'bbb' from 'bb+' reflects
the company's continued improvements in its capital structure and
Fitch's expectation that the company will maintain or further
improve it going forward. During 2019, Petrobras used the proceeds
from internal cash flow generation and asset sales to significantly
lower its financial debt (excluding leases) by approximately USD21
billion, or 25% compared with YE 2018. Fitch forecasts Petrobras'
leverage, as measured by net financial debt to EBITDA to be at or
marginally below 2.0x going forward. As of YE 2019, Petrorbas' net
leverage decreased to approximately 2.0x from its peak of more than
5.0x at Dec. 31, 2015.

Strong Cash Flow Generation: Fitch expects Petrobras to continue
reporting marginally positive FCF over the rating horizon while
investing enough to replenish reserves, which will further support
its SCP. The base case scenario for Petrobras considers annual
average EBITDA and FFO of approximately USD30 billion and USD20
billion, respectively, over the rating horizon. During 2019, the
company reported an EBITDA (adjusted for leases) of USD28.3
billion, up from an average of approximately USD26 billion over the
previous three years, while total financial debt decreased by more
than USD60 billion to USD63 billion as of December 2019 from USD126
billion as of YE15. Petrobras reported positive Fitch-defined FCF
of USD5 billion during 2019 (including transfer of rights
acquisition and settlement), while maintaining investments in its
upstream business at a level Fitch considers sufficient to
replenish reserves.

Supportive Government: Petrobras' credit quality has materially
benefited from the Brazilian government's indirect support during
times of distress. The government has provided liquidity through
government-controlled financial institutions, changed regulations
that negatively affected Petrobras' cash flow in the past and at
times allowed the company to implement beneficial pricing policies.
The government also allowed the company to significantly reduce
dividends and curb downstream investments, which, together with
asset sales, led Petrobras to strengthen its capital structure and
improve its SCP. Fitch estimates the company will modestly increase
dividend payments as its capital structure approaches the company's
target of 1.5x net debt to adjusted EBITDA.

Potential Political Interference: The potential return of stronger
political meddling into Petrobras' strategy, noticeably through
manipulation of domestic gasoline and diesel pricing mechanisms,
would negatively affect the company's cash flow generation and
stand-alone credit profile. This is particularly relevant during
times of Brazilian real depreciation against the dollar, which
would increase domestic gasoline and diesel prices and heighten
interference risk. In 2018, the Brazilian government established
provisional measures to fix and subsidize diesel prices in order to
ease mounting social pressure over volatility in fuel prices. This
marginally increased the company's cash flow generation exposure to
receipt of government subsidies while the program was in place
until year-end. These policies were not implemented in 2019.

Marginal Production Growth: Fitch's rating case assumes Petrobras'
gross production will increase to approximately 3.3 million barrels
of oil equivalent a day (boe/d) in the next three to five years
from 3.0 million boe/d reported in fourth-quarter 2019 (4Q19).
During 2019, the company reported annual average production of
approximately 2.8 million boe/d and proved reserves of 9.6 billion
boe give the company a reserve life of approximately 10 years.

Production growth is expected to remain driven by the company's
development of its pre-salt assets and planned capex for the next
five years of USD75.7 billion. Pre-salt represented approximately
59% of Petrobras' oil production during 2019 and is expected to be
the primary driver for the company's production growth going
forward. Petrobras' marginal production increase of 5.4% between
2018 and 2019 is primarily driven by a 28.5% increase in pre-salt
formation, mitigated by shallow water decline due to asset sales
and natural production depletion in other areas.

DERIVATION SUMMARY

Petrobras' linkage to the sovereign is similar in nature to its
peers, namely Petroleos Mexicanos (PEMEX; BB+/Negative), Ecopetrol
S.A. (BBB/Negative) and YPF (CCC). It also compares with Empresa
Nacional del Peru (ENAP; A/Stable), and Petroleos del Peru -
Petroperu (BBB+/Stable). All have strong linkages to their
respective sovereigns, given their strategic importance and the
potentially significant negative social-political and financial
implication a default by any of these entities could have for their
countries.

On a stand-alone basis, Petrobras' credit profile is commensurate
with a 'bbb' rating, which is materially higher than PEMEX's 'ccc'
stand-alone credit profile, as a result of Petrobras' positive
deleverage trajectory versus PEMEX's increasing leverage
trajectory. Furthermore, Petrobras has and is expected to continue
to report positive FCF and production growth, which Fitch expects
to reach approximately 3.3 million boe/d in the next three to five
years. In contrast, PEMEX's production has declined in recent
years, reporting a decline of 7% between 2018 and 2019. These
production trajectories further support the notching differential
between the two companies' stand-alone credit profiles. Petrobras'
stand-alone credit profile is in line with that of Ecopetrol at
'bbb' given both companies strong credit metrics and deleveraging
trajectories.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within the Rating Case for the Issuer

  -- Gross production to increase to approximately 3.3 million
     boe/d over the four years;

  -- Eight production units come online during the next four
years;

  -- Brent Crude trends to USD57.5/bbl by 2022;

  -- Average FX rate trends toward BRL3.9/USD;

  -- Dividends pay-out ratio of 25%;

  -- Proceeds from future asset sales are not incorporated on
     Fitch's rating case.

RATING SENSITIVITIES

Developments That May, Individually or Collectively, Lead to
Positive Rating Action

  -- A positive rating action on Brazil could lead to a positive
     rating action on Petrobras.

Developments That May, Individually or Collectively, Lead to
Negative Rating Action

  -- A negative rating action on Petrobras could result from a
     downgrade of the sovereign and/or the perception of a lower
     linkage between Petrobras and the government coupled with a
     material deterioration of Petrobras' SCP.

LIQUIDITY AND DEBT STRUCTURE

Strong Financial Flexibility: Petrobras' liquidity is robust and
provides an added comfort in an environment of strengthening credit
metrics, supported by approximately USD8.3billion of cash and
marketable securities as of Dec. 31, 2019, compared with current
financial debt maturities of approximately USD4.5 billion. The
majority of Petrobras' available liquidity is composed of readily
available liquidity held abroad.

Petrobras demonstrates a solid ability to access the debt capital
markets to refinance debt. During 2019, estimated long-term debt
proceeds amounted to roughly USD7.5 billion, which the company used
to amortize debt. Petrobras' financial debt has decreased by an
estimated USD21 billion over the same time. At the same date, the
average maturity of outstanding financial debt was approximately
10.8 years and 15% of the company's debt was in Brazilian reals.

PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS

Petrobras' ratings are linked to the sovereign of Brazil.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of 3 - ESG issues are credit
neutral or have only a minimal credit impact on the entity, either
due to their nature or the way in which they are being managed by
the entity.

Petrobras has an ESG Relevance Score of 4 for human rights,
community relations as well as access and affordability (SCR) due
to social pressures potential impact on pricing policy in the
future.

The company's score for Governance Structure (GGV) is 4 resulting
from its nature as a majority government owned entity and the
inherent governance risk that arise with a dominant state
shareholder.




=============
J A M A I C A
=============

CARICEL: Employees Concerned About Police Raid at Company Office
----------------------------------------------------------------
RJR News reports that employees of telecoms firm Caricel say they
are still in the dark on the purpose of the police raid on the
company's office on Eastwood Avenue in St. Andrew.  The cops spent
several hours searching the building.

RJR News was told that the employees were escorted off the property
and the police later cordoned off the entrance.

An employee of Caricel, John Allen, says the cops were tightlipped
on the operation: "They placed all of the employees in one area,
they searched everybody, they took me outside and searched by car.
They asked me where I worked, they asked who the care belonged to .
. . . ." Allen said, the report notes.

Symbiote Investments, which trades as Caricel, halted operations
following an Appeal Court decision handed down in March last year,
the report recalls.  The court also set aside the order granting it
permission to appeal, the report notes.

In 2018, the telecommunications licences issued to Symbiote were
revoked, the report adds.




===========
M E X I C O
===========

CREDITO REAL: S&P Affirms 'BB+' Global Scale ICR, Outlook Negative
------------------------------------------------------------------
S&P Global Ratings affirmed its global scale 'BB+' issuer credit
rating on Credito Real S.A.B. de C.V. SOFOM, E.N.R. (Credito Real).
S&P said, "We also affirmed our 'mxA+/mxA-1' national scale issuer
credit ratings on the company. The outlook on the ratings on both
scales is negative. We also affirmed our 'BB+' issue-level rating
on the lender's senior unsecured notes, given that secured debt
represented less than 15% of adjusted assets, and unencumbered
assets completely covered unsecured debt as of the end of 2019.
Therefore, we don't apply notches of subordination to these
issuances. Finally, we affirmed our 'B+' issue-level rating on the
subordinated perpetual notes."

The ratings on Credito Real reflect its position as one of the main
players in the non-bank payroll-lending segment in Mexico and its
growing diversification outside of Mexico, mainly in the U.S. and
Costa Rica. They also reflect the lender's solid capitalization due
to its rising internal capital generation, which results in an
expected risk-adjusted capital (RAC) ratio of 13.8% on average for
2020-2021. Credito Real's focus on lending to government employees
poses challenges due to reliance on public entities for
distribution and collections, which partly limits the ratings.
However, asset quality metrics are improving due to a better
performance of the lender's portfolio in Central America, and a
higher share of SME and auto segments within the total portfolio.
Finally, Credito Real has sufficient liquidity and remains an
active participant in the capital markets to issue debt and meet
its short-term maturities. The stand-alone credit profile (SACP)
remains at 'bb+'. The global scale issuer credit rating is at
'BB+', because it doesn't incorporate any potential government or
group support.



CREDITO REAL: S&P Assigns 'BB+' Rating on New Sr. Unsecured Notes
-----------------------------------------------------------------
S&P Global Ratings assigned its 'BB+' issue-level rating to Credito
Real S.A.B. SOFOM, E.N.R.'s (Credito Real; global scale:
BB+/Negative/--; national scale: mxA+/Negative/mxA-1) proposed
four-year senior unsecured notes for up to CHF200 million.

The 'BB+' rating on the new notes is at the same level as the
long-term global scale issuer credit rating on Credito Real. This
reflects Credito Real's secured debt that represented less than 15%
of adjusted assets as of 2019, and its unencumbered assets fully
cover unsecured debt. The new notes will rank equally in right of
payment with all of the lender's existing and future senior
unsecured debt. S&P said, "We expect Credito Real to use the
proceeds to fund portfolio growth. The rating on the notes
incorporates a hedge against currency exchange fluctuations on the
total amount of the principal during the issuance term. We expect
Credito Real to complete the hedge within the next 60 days."

S&P said, "The notes issuance will support Credito Real's portfolio
growth, which we expect at 17%-19% during 2020-2021. In addition,
the issuance doesn't modify our view of Credito Real's funding and
liquidity, although we consider it will slightly improve the
lender's debt maturity profile. Specifically, we believe that
Credito Real's funding structure will remain similar, with market
debt representing about 64% (compared with 70% before the issuance)
of the total funding base. The remainder of its funding base will
rely mainly on bank loans. Moreover, our liquidity assessment
reflects our view that Credito Real doesn't have any large or
unusual liquidity needs for the next 12 months, and the lender has
ability to access liquidity sources--issuances in the capital
markets and banks loans. Likewise, in our base- and stress-case
scenarios, Credito Real's cash flow analysis remains positive, and
we expect the lender to cover its liquidity needs during the next
two years."

The ratings on Credito Real reflect its position as one of the main
players in the non-bank payroll-lending segment in Mexico and its
growing diversification outside of Mexico, mainly in the U.S. and
Costa Rica. They also reflect its solid capitalization, supported
by its rising internal capital generation, which results in an
expected risk-adjusted capital (RAC) ratio of 13.8% on average for
2020-2021. Finally, the challenges that arise from Credito Real's
focus on government employees constrains S&P's assessment of its
risk position. However, the asset quality metrics of its other
business segments are improving due to a better performance of its
portfolio in Central America, and a higher share of SME and auto
loans within total portfolio.

  Ratings List

  New Rating

  Credito Real, S.A.B. de C.V., SOFOM, E.N.R.

  Senior Unsecured   BB+




=====================
P U E R T O   R I C O
=====================

STAR PETROLEUM: Hires Luis Carrasquillo as Financial Consultant
---------------------------------------------------------------
Star Petroleum, Corp., seeks authority from the U.S. Bankruptcy
Court for the District of Puerto Rico to employ CPA Luis
Carrasquillo & CO. P.S.C., as financial consultant to the Debtor.

Tecnicentros Mundial requires Luis Carrasquillo to:

   -- assist the Debtor in the financial restructuring of its
      affairs by providing advice in strategic planning;

   -- prepare the Debtor's Plan of Reorganization, Disclosure
      Statement and business plan; and

   -- participate in negotiations with the Debtor's creditors.

Luis Carrasquillo will be paid at these hourly rates:

     Partners                     $175
     Senior CPAs               $85 to $125
     Administrative Support       $45

Luis Carrasquillo will be paid a retainer in the amount of
$12,500.

Luis Carrasquillo will also be reimbursed for reasonable
out-of-pocket expenses incurred.

Luis R. Carrasquillo, a partner at CPA Luis R. Carrasquillo & Co.,
assured the Court that the firm is a "disinterested person" as the
term is defined in Section 101(14) of the Bankruptcy Code and does
not represent any interest adverse to the Debtor and its estates.

Luis Carrasquillo can be reached at:

     Luis R. Carrasquillo
     CPA LUIS R. CARRASQUILLO & CO., P.S.C.
     28th Street, TI-26
     Caguas, PR 00725
     Tel: (787) 746-4555
     Fax: (787) 746-4564
     E-mail: luis@cpacarrasquillo.com

                  About Star Petroleum Corp.

Star Petroleum, Corp., based in Toa Alta, PR, filed a Chapter 11
petition (Bankr. D.P.R. Case No. 20-00558) on Feb. 5, 2020.  In the
petition signed by Sami Abraham, president, the Debtor disclosed
$6,782,500 in liabilities.  CHARLES A. CUPRILL, PSC LAW OFFICES,
serves as bankruptcy counsel.




=====================================
T R I N I D A D   A N D   T O B A G O
=====================================

CL FIN'L: Shareholders Have No Right in Assets, T&T Gov't. Says
---------------------------------------------------------------
Trinidad Express reports that Trinidad and Tobago government has
told CL Financial Limited shareholders they have no right or
interest in the group's assets.  And, in a letter to the
shareholders, the Government said when the Central Bank
relinquishes control of CLICO, the shareholders will not benefit
because beneficial ownership of their 51 per cent stake in CLICO
now rests with the joint liquidators of CL Financial, according to
Trinidad Express.

The Government's views were expressed in a letter, dated February
18, from the office of the Chief State Solicitor, the report notes.
The letter, which was addressed to the shareholders' attorney, was
copied to Finance Minister Colm Imbert, Attorney General Faris
al-Rawi and Central Bank Governor Alvin Hilaire, the report
relays.

The Government's letter said: "Until CL Financial's debts have been
repaid in full (which is unlikely to happen any time soon), the
joint liquidators (not the CLF shareholders) have custody, control,
and beneficial ownership of the assets of CL Financial, save for
CLICO which is under the control of the Central Bank, the report
relates.

"As must also be clear to your clients, when the Central Bank is of
the opinion that it is no longer necessary for it to be in control
of the business of CLICO and relinquishes control of same, its
property and assets will be returned to the shareholders of CLICO
(who at this time are the joint liquidators and GORTT), not your
clients, the report notes.

"For the above reasons, the shareholders whom you represent (and a
fortiori USL which holds no shares in CLF) have no right, title or
other interest in the assets of CLF including its shareholding in
CLICO and have no or no sufficient interest to complain of any
matter or decision relating to any of those assets," the report
discloses.

Imbert told Parliament that the CL Financial group still owes
taxpayers $8.1 billion, with CLICO owing the Government $3.1
billion and the holding company, CL Financial, owing $5 billion,
the report relays.

The CL Financial shareholders issued a news release that contained
their plan to repay the outstanding $8.1 billion "immediately," the
report notes.

CL Financial is owned by some 321 shareholders.  CLICO's records
indicate that CL Financial owns 51 per cent of the insurance
company, while the Government owns 49 of CLICO as a result of a $5
billion preference and ordinary share investment in 2009.

The Government applied to the High Court in 2017 to have CL
Financial placed in liquidation because of what it claimed was the
group's failure to meet its debt commitments to the Government, the
report notes.

The letter from the Government indicated that not only does CL
Financial still owe the Government billions, but the joint
liquidators of CL Financial have received claims valued at over $30
billion, the report relays.

"According to the last Report dated 16 December, 2019 filed by the
joint liquidators in Court the total value of claims received by
the joint liquidators to date exceeds TT$30 billion and a number of
potential creditors have yet to file claims," according to the
letter, the report notes.

The Government's position is that it moved to have CL Financial
liquidated, under a court-controlled process, because the
shareholders in June 2017, attempted to shift control of CL
Financial away from the Government to themselves, the report
discloses.

The CL Financial shareholders, through a group called United
Shareholders Ltd (USL), attempted to place themselves in control of
CL Financial by requisitioning a special general meeting of the
group, the report relays.

"Government through the Permanent Secretary, Ministry of Finance
responded by, inter alia, two letters dated June 23, 2017 stating,
inter alia, that should USL or other shareholders seek to remove,
replace or appoint additional directors unilaterally, Government
will treat such action as an act of hostility and a clear intention
not to be bound by the terms of the Shareholders Agreements that
had been in place since June 2009 and which had governed the
relationship between GORTT and CLF where inter alia GORTT as the
principal creditor of CLF is represented on the Board of CLF," the
report notes.

The Government's argument is that it is the CL Financial
shareholders that have "resiled from and/or repudiated and/or
frustrated the common understanding of the parties and the Heads of
Agreement and Shareholders Agreement which are no longer in force,'
the report adds.

AS a result, the Government described as "ludicrous" the
shareholders' argument that the proposed sale of CLICO's
traditional portfolio can amount to a breach of Government's
obligations, the report relays.

                       About CL Financial/CLICO

CL Financial was one of the largest privately held conglomerate in
Trinidad and Tobago. It was originally founded as an insurance
company and has since expanded to be the holding company for a
diverse group of companies and subsidiaries.

CL Financial is the parent company of Colonial Life Insurance
Company (Trinidad) Limited (Clico).  CLICO is now the Company's
insurance division.

CL Financial however experienced a liquidity crisis in 2009 that
resulted in a "bail out" agreement by which the government of
Trinidad and Tobago loaned the company funds ($7.3 billion as of
December 2010) to maintain its ability to operate, and obtained a
majority of seats on the company's board of directors.

The companies to be bailed out were: CL Financial Ltd (CLF);
Colonial Life Insurance Company Ltd (CLICO); Caribbean Money Market
Brokers Ltd (CMMB); Clico Investment Bank (CIB) and British
American Insurance Company (Trinidad) Ltd (BAICO).

As reported in the Troubled Company Reporter-Latin America in July
2017, CL Financial Limited shareholders vowed to pay back a TT$15
billion (US$2.2 billion) debt to the Trinidad Government.


TRINIDAD & TOBAGO: FATF Removes Country From Grey List
------------------------------------------------------
Ria Taitt at Trinidad Express reports that Trinidad and Tobago has
been removed from the grey list by the FATF (Financial Action Task
Force).  This represents an advance for this country since it is no
longer subject to "increased monitoring by FATF".

A release from the Attorney General said that as of February 2020,
FATF had taken Trinidad and Tobago off its grey list and concluded
that Trinidad and Tobago is no longer subject to active monitoring,
according to Trinidad Express.  FATF is an inter-governmental body
which sets standards for combating money laundering, terrorist
financing and other related threats to the integrity of the
international financial system, the report notes.

Coming out of its plenary meeting in Paris, France, the FATF stated
it "welcomes Trinidad and Tobago's significant progress in
improving its AML/CFT regime and notes that Trinidad and Tobago has
strengthened the effectiveness of its AML/CFT regime and addressed
related technical deficiencies to meet the commitments in its
action plan regarding the strategic deficiencies that the FATF
identified in November 2017," the report relays.

The report notes that The AG's release stated: "Trinidad and Tobago
under the leadership of Prime Minister Dr Keith C Rowley achieved
massive improvements in all key areas covering international
cooperation—beneficial ownership information of corporate
entities; money laundering prosecutions and convictions,
confiscation and forfeiture applications; and on-going terrorism
financing investigations and specialised courts with administrative
support for financial crime.  The process involved four years of
intense dialogue and concluded with an intensive two-day on-site
examination in Trinidad and Tobago by the FATF during January 6-7,
2020 with a delegation led by the Honourable Attorney General and
Minister of Legal Affairs and comprised of representations of key
State entities."

In its finale, the Attorney General delivered remarks to the FATF
delegates on T&T's systematic reform at the FATF plenary meeting,
which ended, the report notes.

FATF president, Xiangmin Liu of China, congratulated the Attorney
General and noted that T&T has strengthened the effectiveness of
its AML/CFT regime, the report relays.  Trinidad and Tobago will
remain directly involved in the work of the FATF and CFATF through
Ms Vyana Sharma, chair, NAMLC and Head, Anti-Terrorism Unit,
Ministry of the Attorney General, the release stated, the report
discloses.

In January 2015, T&T was the first member of the Caribbean
Financial Action Task Force (CFATF) to undergo the FATF 4th Round
Mutual Evaluation peer review process under the UNC's direct
supervision, led by the then attorney general, Anand Ramlogan, the
report notes.

As a result of outstanding technical deficiencies, the country
failed miserably in its assessment of regulatory laws and measures
and the then UNC Government took no steps to inform the public of
this assessment nor of the dismal effect of failing the FATF
process, the release said, the report relays.

By September 7, 2015, the Keith Rowley Government faced a virtual
fait accompli in which the Mutual Evaluation Report, published in
June 2016, "highlighted the poor state of the country's AML/CFT
(Anti-Money Laundering/Combatting the financing of terrorism)
unsatisfactory and deficient structure in place during the UNC's
administration," the report notes.

The report's findings outlined numerous deficiencies and the
results clearly demonstrated that the country had drastically and
dramatically failed the evaluation process, the report discloses.
As a result of this failure, T&T was placed on the FATF's grey list
in November 2017 and subject to active monitoring by the FATF, the
release stated, the report says.

The Rowley Government moved by a desire to "take the profit out of
crime", spearheaded several measures to ensure transparency in
land, cash and business transactions to directly target rampant
corruption, fraud and criminality in the country, the report
relays.

"The Attorney General's visionary plan to aggressively improve
plant and machinery, processes, people and laws relative to the
criminal justice system resulted in the Government's enactment of
twenty-three (23) pieces of AML/CFT legislation swiftly followed by
their operationalisation.  Over the past four years, the UNC
Opposition did not support and caused unnecessary delays with the
progression of these pieces of legislation," the release stated,
the report adds.




=================
V E N E Z U E L A
=================

PETROLEOS DE VENEZUELA: Company Revamp Ordered by President
-----------------------------------------------------------
Houston Chronicle reports that Venezuela's President Nicolas Maduro
declared an "energy emergency" as he announced a commission to
revamp state oil company Petroleos de Venezuela SA, redoubling
efforts to shore up the nation's crumbling oil industry.

Economy Vice President Tareck El Aissami will lead the commission,
which will focus on boosting crude production, Maduro said. El
Aissami, who is already an external director at PDVSA, will be
joined by former Energy Minister Asdrubal Chavez as commission vice
president, Defense Minister Vladimir Padrino, armed forces
Strategic Operational Commander Remigio Ceballos and others,
according to Houston Chronicle.

"I won't accept more excuses," Maduro said at an event with PDVSA
workers broadcast on state television, the report notes.  "Either
we produce or we produce. Venezuela has to be an oil power," the
report relays.

The intervention, which installs a key Maduro loyalist at the top
of the state oil producer, shows the growing urgency to increase
output of the country's primary source of cash, the report
discloses.  The Maduro regime has previously proposed giving
majority shares and control of its oil industry to big
international corporations, which would forsake decades of state
monopoly, the report notes.

The planned intervention - which Bloomberg News reported earlier -
comes a day after the U.S. imposed sanctions on the biggest
exporter of Venezuelan crude, the report relays.  The decision to
target the Geneva-based trading arm of Rosneft PJSC could have a
significant effect on shipments of Venezuelan crude to China and
India, the report notes.

Maduro said he had "investment offers" for more than $25 billion in
oil production projects and refinery rehabilitations. He did not
provide details, the report discloses.

The oil commission will also include current Energy Minister Manuel
Quevedo, Interior Minister Nestor Reverol, Transportation Minister
Hipolito Abreu, Science and Technology Minister Gabriela Jimenez,
Social Labor Minister Eduardo Pinate, the report says.  The
commission will also include seven oil industry workers, a militia
member and a state university president, the report notes.

Maduro said the commission will issue measures to "guarantee
national energy security and protect the industry from imperialist
aggression," the report relays.

While Maduro vowed to increase production to two million barrels a
day two years ago, the goal remains far from reach as the country's
economy enters its seventh year of economic decline, plagued by the
failure of public utilities and widespread shortages outside the
capital, the report notes.  Production fell to 733,000 barrels a
day in January, a 36% drop from a year earlier, according to OPEC
secondary sources, the report says.

Rosneft Trading accounted for about half of Venezuela's 874,649
barrels a day of exports in January, according to shipping reports
and tracking data compiled by Bloomberg.  It's unlikely that other
trading companies will step in and take charge of volumes traded by
Rosneft, FGE analysts said in a note, the report adds.

                  About Venezuela

Venezuela, officially the Bolivarian Republic of Venezuela, is a
country on the northern coast of South America, consisting of a
continental landmass and a large number of small islands and
islets in the Caribbean sea.  The capital is the city of Caracas.

Hugo Chavez was president to Venezuela from 1999 to 2013.  The
Chavez presidency was plagued with challenges, which included a
2002 coup d'etat, a 2002 national strike and a 2004 recall
referendum.  Nicolas Maduro was elected president in 2013 after
the death of Chavez.  Maduro won a second term at the May 2018
Venezuela elections, but this result has been challenged by
countries including Argentina, Chile, Colombia, Brazil, Canada,
Germany, France and the United States who deemed it fraudulent and
moved to recognize Juan Guaido as president.

The presidencies of Chavez and Maduro have challenged Venezuela
with a socioeconomic and political crisis.  It is marked by
hyperinflation, climbing hunger, poverty, disease, crime and death
rates, social unrest, corruption and emigration from the country.

Standard and Poor's long- and short-term foreign currency
Sovereign credit ratings for Venezuela stands at 'SD/D' (November
2017).

S&P's local currency sovereign credit ratings on the other hand
Are 'CCC-/C'. The May 2018 outlook on the long-term local currency
sovereign credit rating is negative, reflecting S&P's view that
the sovereign could miss a payment on its outstanding local
currency debt obligations or advance a distressed debt exchange
operation, equivalent to default.

Moody's credit rating (long term foreign and domestic issuer
ratings) for Venezuela was last set at C with stable outlook
(March 2018).

Fitch's long term issuer default rating for Venezuela was last set
at RD (2017) and country ceiling was CC. Fitch, on June 27, 2019,
affirmed then withdrew the ratings due to the imposition of U.S.
sanctions on Venezuela.



                           *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A.
Chapman, Editors.

Copyright 2020.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$775 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Peter A. Chapman at 215-945-7000.
.


                  * * * End of Transmission * * *