Rating agency Fitch does not believe the resignations of Bermuda Commercial Bank (BCB) chairman John Deuss, BCB COO Timothy Ulrich and director Tineke Deuss have immediate rating implications for BCB.

Legal authorities in Curacao and the Netherlands are investigating BCB's major shareholder First Curacao International Bank (FCIB), for possible involvement in money laundering activities.

As a result Mr. Deuss, Mr. Ulrich, and Ms Deuss, who are also officers and/or directors of FCIB, have temporarily relinquished their responsibilities as directors and officers of BCB.

Last Thursday morning the Detective Cooperative Team (RST) raided the FICB office complex in Zeelandia where the Fiscal Inquiries and Investigation Service FIOD-ECD searched an office and a house in the Dutch Berg en Dal, near Nijmegen.

FICB is suspected of banking without a permit of the Bank of Netherlands (BNB) and illegal banking by some of FICB's clients.

Legal banking is only possible in the Netherlands with a permit of the DNB, the Dutch Central Bank. FCIB is not only being suspected of illegal banking, but also of possible fraud with the sales tax.

The investigation is done on the authority of the Functional Office of the Public Prosecutor with headquarters in The Hague.

A raid was also conducted in Curacao at the offices of the FICB and at the offices its Dutch administrative services provider in Holland.

BCB directors Dr. Clarence Terceira and John Sainsbury have stepped in to serve as CEO and Chief Operating Officer, respectively, for the time being.

Fitch notes that, although Mr. Deuss and Mr. Ulrich have until recently held senior executive titles at BCB, day to day operations of BCB have been handled by senior vice president Dominique Smith for several years.

Fitch believes that Ms. Smith and her staff are capable of administering BCB's business activities. Although FCIB owns approximately 47 percent of BCB, the two companies operate as separate entities and have little business overlap.

Also the Bermuda Monetary Authority is monitoring the recent events and has stated that the suspension of the three directors is appropriate.

Fitch will continue to monitor the situation for regulatory, legal and business developments.