THE ASSOCIATION of Finsac'd Entrepreneurs (AFE) wants the Government to enact legislation, similar to Chapter 11 of the bankruptcy law in the United States, to protect borrowers who might suffer the effects of another financial sector meltdown.

Neville Boxe, chairman of the association, urged the Government to consider introducing the legislation in Jamaica. He was addressing journalists and members of the association yesterday at a press conference at the Medallion Hall Hotel in St Andrew.

Attorney-at-law Anthony Levy, member of the association, said Chapter 11 in the United States gave a company that did not have cash, but held assets, an extended period to pay its creditors.

"You may have large assets but no cash and your bank demands immediate payment. Chapter 11 stays everything."

Commenting on the plight of the members of the association, Boxe argued that unless the current administration intervenes and rescues the sectors devastated by FINSAC, the climate for job creation would remain "dismal".

Enthusiastic

He contended that not many prospective small- and medium-size business owners, and Jamaican investors overseas would be enthusiastic about a new business locally after seeing the "injustice meted out to us".

Boxe said the association has written to the Jamaican Bar Association and the Realtors Association, urging them not to participate in any further sale of assets linked to AFE members. He said members and supporters of AFE have been encouraged not to do business with lawyers or realtors who continue to work for JRF.

Head of the Realtors Associa-tion, Edwin Wint, could not be reached for comment as he was said to be overseas. Efforts to get a response from the president of the Jamaican Bar Association were unsuccessful.

The financial sector meltdown of the 1990s triggered the Government to establish FINSAC, which was set up to guide the banking sector through the recovery process.