According to a recent report in the KYC Alert newsletter, which covers developments in the offshore financial services sector, a default judgment for $6.4 million has been entered against LOM, RBC Dominion Securities, of the Turks & Caicos Islands, (an offshore brokerage arm of the Royal Bank of Canada) and the other defendants in connection with an allegation of banking and securities fraud.

The report says court records show that the judgment was entered against LOM and RBC Dominion Securities at the US District Court for the Southern District of Alabama on July 1, 2004 after they failed to defend a civil complaint after being served in December, 2001.

KYC Alert says that LOM, RBC Dominion and the 29 other defendants were held jointly and severally liable for an award of $6,429,996 concerning banking and securities fraud committed by Cambridge International Bank & Trust (CIB&T), a now-defunct offshore bank that was once licensed in Grenada, and its officers and associates.