TCRLA_Public/101229.mbx         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, December 29, 2010, Vol. 11, No. 256

                            Headlines



A N T I G U A  &  B A R B U D A

STANFORD INT'L: Owner's Lawyers Seek More Time to Prepare Case


B R A Z I L

BANCO PANAMERICANO: Former CFO Ordered Fraud, Ex Chairman Says
FIBRIA CELULOSE: Fitch Puts 'BB' Rating on Positive Watch
LUPATECH SA: Moody's Junks Corporate Family Rating from 'B2'


C A Y M A N  I S L A N D S

ABSOLUTE PLUS: Creditors' Proofs of Debt Due January 6
ASCENSION HIGH: Creditors' Proofs of Debt Due January 6
BARBICAN LEASING: Creditors' Proofs of Debt Due January 6
BEST OF BRAZIL: Placed Under Voluntary Wind-Up
CBO HOLDINGS: Creditors' Proofs of Debt Due January 6

FCM EUROPEAN: Creditors' Proofs of Debt Due January 7
GOLDMAN SACHS: Creditors' Proofs of Debt Due January 6
GOLDMAN SACHS: Creditors' Proofs of Debt Due January 6
GOLDMAN SACHS: Creditors' Proofs of Debt Due January 6
HVOM COMPANY: Commences Wind-Up Proceedings

IBS IV COMPANY: Creditors' Proofs of Debt Due January 6
MUTUAL AND HEDGE: Creditors' Proofs of Debt Due January 6
MUTUAL FUND: Creditors' Proofs of Debt Due January 7
MUTUAL FUND: Creditors' Proofs of Debt Due January 6
PACIFIC LIFE: Creditors' Proofs of Debt Due January 6

PUGET CAYMAN: Creditors' Proofs of Debt Due January 6
RELIANCE (CAYMAN): Creditors' Proofs of Debt Due January 6
SABAKA 2000: Creditors' Proofs of Debt Due January 6
SAPIC-98 REFERENCE: Creditors' Proofs of Debt Due January 6
TRUVA AVIATION: Creditors' Proofs of Debt Due January 6


G U Y A N A

WILZON ENTERPRISE: Guyana Bank Takes Loan Default Case to CCJ


J A M A I C A

AIR JAMAICA: Completion of Caribbean Airline Deal in Jeopardy


M E X I C O

FINANCIERA INDEPENDENCIA: S&P Puts 'BB-' Rating on Negative Watch
FINANCIERA INDEPENDENCIA: Fitch Puts BB- Rating on Negative Watch
MBIA MEXICO: S&P Downgrades Financial Strength Rating to 'B'


P E R U

* PERU: Moody's Puts 'Ba1' Rating on City of Lima


P U E R T O  R I C O

MEDSCI DIAGNOSTICS: Court Expands Contract Validity Ruling
MULTI-PLASTICS INC: Seeks Court's Nod to Use Cash Collateral


T R I N I D A D  &  T O B A G O

CL FIN'L: Lascelles deMercado Dividend Payout Stirs Interest


                            - - - - -


===============================
A N T I G U A  &  B A R B U D A
===============================


STANFORD INT'L: Owner's Lawyers Seek More Time to Prepare Case
--------------------------------------------------------------
RadioJamaica reports that lawyers representing Stanford
International Bank Limited owner, Robert Allen Stanford, have
requested for a delay of a trial set to begin January 24, 2010,
for at least two years so they can prepare their defense.  The
report said Mr. Stanford had his lawyers ask for more time to
properly analyze more than five million documents and question
dozens of potential witnesses before the current trial date.

RadioJamaica notes that Mr. Stanford's lawyers have also asked
that their client be released on bond, claiming he is too heavily
medicated in prison to participate in his defense.

As reported in the Troubled Company Reporter-Latin America on
December 10, 2010, Caribbean360.com said that Mr. Stanford's
attorneys are claiming that he is too medicated to be of any use
to himself in preparation for, or during, his upcoming trial.
According to Caribbean360.com, public defender Ali Fazel put
forward the argument in documents submitted to U.S. District Judge
David Hittner who has three times denied bail requests by previous
attorneys on the grounds that Mr. Stanford is a flight risk.  In
this fourth attempt, Mr. Fazel identified for the judge a variety
of medications and the dosages his client has been taking since a
jailhouse beat down by another inmate last September, and the
effect they had been having on him, the report relates.

             About Stanford International Bank

Domiciled in Antigua, Stanford International Bank Limited --
http://www.stanfordinternationalbank.com/-- is a member of
Stanford Private Wealth Management, a global financial services
network with US$51 billion in deposits and assets under management
or advisement.  Stanford Private Wealth Management serves more
than 70,000 clients in 140 countries.

On February 16, 2009, the United States District Court for the
Northern District of Texas, Dallas Division, signed an order
appointing Ralph Janvey as receiver for all the assets and records
of Stanford International Bank, Ltd., Stanford Group Company,
Stanford Capital Management, LLC, Robert Allen Stanford, James M.
Davis and Laura Pendergest-Holt and of all entities they own or
control.  The February 16 order, as amended March 12, 2009,
directs the Receiver to, among other things, take control and
possession of and to operate the Receivership Estate, and to
perform all acts necessary to conserve, hold, manage and preserve
the value of the Receivership Estate.

The U.S. Securities and Exchange Commission, on Feb. 17, 2009,
charged before the U.S. District Court in Dallas, Texas, Mr.
Stanford and three of his companies for orchestrating a
fraudulent, multi- billion dollar investment scheme centering on
an US$8 billion Certificate of Deposit program.

A criminal case was pursued against him in June 2009, before the
U.S. District Court in Houston, Texas.  Mr. Stanford pleaded not
guilty to 21 charges of multi-billion dollar fraud, money-
laundering and obstruction of justice.  Assistant Attorney General
Lanny Breuer, as cited by Agence France-Presse News, said in a 57-
page indictment that Mr. Stanford could face up to 250 years in
prison if convicted on all charges.  Mr. Stanford surrendered to
U.S. authorities after a warrant was issued for his arrest on the
criminal charges.

The criminal case is U.S. v. Stanford, H-09-342 (S.D. Tex.).  The
civil case is SEC v. Stanford International Bank, 09-cv-00298
(N.D. Tex.).


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


BANCO PANAMERICANO: Former CFO Ordered Fraud, Ex Chairman Says
--------------------------------------------------------------
Fabiola Moura at Bloomberg News, citing O Estado de Sao Paulo
newspaper, reported that former Banco Panamericano SA Chairman
Luiz Sebastiao Sandoval said former Chief Financial Officer Wilson
Roberto de Aro and the bank's former accountant, Marco Pereira da
Silva, were responsible for accounting irregularities that led the
bank to a BRL2.5 billion (US$1.48 billion) bailout.

According to the newspaper, Mr. Sandoval said Mr. Aro ordered
Pereira da Silva to record as assets loans the bank had sold to
other institutions, Bloomberg reports.  Mr. Silva said he followed
Mr. Aro's order, during a meeting in mid-September, the newspaper
added.

Mr. Sandoval gave testimony to the federal police on Dec. 23, the
newspaper said, Bloomberg discloses.

Messrs. Aro and Silva said they started the accounting changes
during the 2008 financial crisis, Mr. Sandoval told Estado, notes
Bloomberg.  The board then found out the fraud started in 2006,
Mr. Sandoval added, according to Estado, Bloomberg reports.

                   About Banco Panamericano

Bank offers loans, personal credit, investments, credit cards, and
lease financing.  Banco Panamericano operates throughout Brazil.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
November 12, 2010, Bloomberg News said that Banco Panamericano SA
could have been liquidated or subjected to a central bank
intervention to sell its assets if its controller had not tapped
BRL2.5 billion from Brazil's deposit insurance fund to rescue the
bank.  According to the report, Mr. Ferreira said that talks to
rescue Panamericano started Oct. 11 and were conducted by
Brazilian media mogul Silvio Santos, who controls the bank.

As of July 27, 2010, the company continues to carry Moody's "Ba2"
long-term rating, foreign currency long-term debt rating, and
long-term bank deposits ratings.


FIBRIA CELULOSE: Fitch Puts 'BB' Rating on Positive Watch
---------------------------------------------------------
Fitch Ratings has placed Fibria Celulose S.A.'s Foreign and Local
Currency IDR of 'BB' and National Long-term rating of 'A+(bra)' on
Rating Watch Positive.  Fitch has also placed Fibria Overseas
Finance Ltd.'s Foreign Currency IDR 'BB' on Rating Watch Positive.
Fibria Overseas is a wholly owned subsidiary of Fibria and is
incorporated in the Cayman Islands as an exempted limited
liability company.

The Positive Watch follows Fibria's announcement on Dec. 21, 2010
of the sale of its 50% stake in the consortium Conpacel -
Consorcio Paulista de Papel e Celulose to Suzano Papel e Celulose
S.A., for BRL1.5 billion.  Fitch expects these proceeds to be
applied by Fibria to accelerate its debt reduction plan.  As of
Sept. 30, 2010, the company reported cash and marketable
securities of BRL2.1 billion and total debt of BRL12.3 billion, of
which BRL2.3 billion was short-term.  For the latest 12 months
ended Sept. 30, 2010, the company's total debt/EBITDA ratio was
4.8 times, while its net debt/EBITDA ratio was 4.0x.  Fitch
calculates that Fibria will have a pro forma net debt/LTM EBITDA
ratio of 3.8x following this transaction.

The Positive Watch for Fibria will be resolved with a rating
upgrade or affirmation, subject to the review of further material
information.


LUPATECH SA: Moody's Junks Corporate Family Rating from 'B2'
------------------------------------------------------------
Moody's Investors Service has downgraded the ratings of Lupatech
S.A. and Lupatech Finance Ltd. to Caa1 from B2 for the global
corporate family rating.  At the same time the senior unsecured
perpetual notes rating of Lupatech Finance was downgraded to Caa2
from B3.  The ratings outlook is negative.

Ratings downgraded are:

Issuer: Lupatech S.A.

  -- Corporate Family Rating: to Caa1 from B2 (global scale); to
     Caa1.br from Ba1.br (Brazil national scale)

Issuer: Lupatech Finance Ltd. (Cayman Islands)

  -- US$275 million Senior Unsecured Guaranteed Perpetual Notes:
     to Caa2 from B3 (foreign currency)

The downgrades reflect the weaker than expected results for the
year-to-date period reflected in the company's third quarter 2010
results.  The weak operating performance has again postponed the
much anticipated improvement in the company's credit profile and
has resulted in a liquidity profile and capital structure that may
not sustainable in longer term.

Lupatech's current very weak liquidity position (at the end of the
third quarter ended September 30, 2010, Lupatech had cash and cash
equivalents of R$103.4 million but significant expected cash
outflows associated with debt service, working capital and capital
expenditures) is a direct result of an aggressive acquisition
spree to its expand product portfolio and manufacturing capacity
in expectation of a material increase in demand following the
announcement of major oil discoveries in Brazil.  This demand
suddenly collapsed in the wake of the global financial and
economic crisis and due to the need of oil companies with
operations in Brazil to speed up the exploration phase of the
development of new oil fields in order to meet deadlines of the
ANP (Brazilian Oil Agency).  The latter decision had the result of
fewer investment dollars going into development activities where
Lupatech is active.  These events led to a material decline in
Lupatech's operating performance.  Moody's estimate that Lupatech
still operates at approximately 40% capacity which has materially
depressed its margins given its high fixed cost structure,
resulting in a material decline in cash flow which does not cover
its expected cash needs, and a potentially untenable capital
structure.

To fund its acquisitions and subsequently improve its liquidity
following the major fall-off in orders during the crisis, Lupatech
issued a total of US$275 million of perpetual notes.  While this
improved the company's debt maturity profile, it also added
US$27,1 million (or R$46.2 million at current exchange rates) in
annual interest expense and contributed to a material increase in
its leverage (at the end of 3Q10 leverage stood at an estimated
10.9 times EBITDA).  Based on Moody's current base line estimate
for EBITDA of R$70 million during fiscal 2010 and anticipating
only a gradual improvement in 2011, Lupatech's cash flow will
remain stressed given expected interest expense in excess of R$100
million, debt amortization of an estimated R$40 million and
expected working capital and investment needs in order to
accommodate an anticipated ramp-up in production..

Operating in a very difficult environment, Lupatech has moved
aggressive this year to improve cash flow.  Key components of that
strategy include reducing working capital (down to 42.3% of
revenues at end of 3Q10 as compared to 60.4% at the end 3Q08 and
49.9% at end of 3Q08) and reducing operating costs.  The latter
has been particularly challenging given the high fixed cost
structure of its business.

In order to find a more permanent solution to its liquidity
challenge and capital structure, Moody's expects Lupatech to
explore various alternatives.  Those initiatives would alleviate
the pressure not only on the company's cash flow stemming from the
interest payments on its convertible debentures but also improve
an unsustainable debt burden.  With a current estimated variable
cost to revenues of 50%, the biggest impact on the company's
longer term performance is still expected to come from a major
boost in revenues which will allow it to benefit from its high
operating leverage and improve cash flows in a meaningful way.

Moody's believes the company in the short term will likely opt to
postpone non-essential capital expenditures, reduce further
inventories and monetize additional receivables, potentially tap
the "Progredir" Petrobras supplier program, and work with its core
banks to develop alternatives to shore up its liquidity.  While
enhancing its financial flexibility is critical for the company to
meet its cash obligations over the next six months, longer term
Lupatech will need to fund growing working capital needs and
invest in new capital expenditures in order to meet the eventual
resumption in revenue growth.

In Moody's analysis Moody's has taken into consideration BNDES'
(rated A3, outlook stable) potential support for Lupatech as
evidenced by an 11.45% equity interest in the company, its
ownership of the majority of Lupatech's R$320 million convertible
debentures, and an estimated R$150 million in Finame financing for
capital expenditures and short term working capital debt.
Combined, the convertible debentures held by BNDES and the Finame
loan represent some 50% of Lupatech's total debt.

In December 2009, Lupatech obtained a waiver from the debentures
holders for breached financial covenants and which is valid until
the end of December 2010.  As Moody's does not expect the company
to be in compliance with at least two of its three covenants under
the agreement (leverage and EBITDA margin) at the expiration of
the waiver, Moody's believe that Lupatech will seek another waiver
which will likely be announced at a scheduled meeting with
debenture holders on December 30, 2010.

The negative outlook reflects the challenges the company will face
to improve its liquidity over the near term but also to address in
a meaningful manner its capital structure which is not
commensurate with its current capacity utilization and the
inherent volatility of its business model and high reliance on one
key large customer.

Given the rating action Moody's does not believe that there will
be upwards pressure on ratings over the near term.  Longer term,
any upwards ratings action would be conditioned on the company
being able to materially improve its liquidity position, reduce
its leverage as measured by Total Adjusted Net Debt to EBITDA to
below 5.0x and generates positive free cash flow such that Free
Cash Flow to Total Adjusted Net Debt approaches 5% on a
sustainable basis.

The last rating action on Lupatech was on February 9, 2010, when
Moody's downgraded the Corporate Family Rating of Lupatech S.A. to
B2 from B1 (global scale) and to Ba1.br from Baa3.br (Brazil
national scale) and Lupatech Finance Ltd. (Cayman Islands) US$275
million Senior Unsecured Guaranteed Perpetual Notes to B3 from B2
(foreign currency).

Headquartered in Caxias do Sul, Brazil, Lupatech is a leading
equipment manufacturer and service provider to the oil & gas
industry in Brazil, besides producing industrial valves and
casting parts.  Lupatech reported net revenues of BRL552.7 million
(US$325 million using the current exchange rate) in the last
twelve months ended September 30, 2010.


==========================
C A Y M A N  I S L A N D S
==========================


ABSOLUTE PLUS: Creditors' Proofs of Debt Due January 6
------------------------------------------------------
The creditors of Absolute Plus Master Fund Limited are required to
file their proofs of debt by January 6, 2011, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on November 25,
2010.

The company's liquidator is:

         Graham Robinson
         Telephone: (345) 949-7576
         Facsimile:  (345) 949-8295
         P.O. Box 897, Windward 1
         Regatta Office Park
         Grand Cayman KY1-1103
         Cayman Islands


ASCENSION HIGH: Creditors' Proofs of Debt Due January 6
-------------------------------------------------------
The creditors of Ascension High Grade CDO Limited are required to
file their proofs of debt by January 6, 2011, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


BARBICAN LEASING: Creditors' Proofs of Debt Due January 6
---------------------------------------------------------
The creditors of Barbican Leasing Limited are required to file
their proofs of debt by January 6, 2011, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


BEST OF BRAZIL: Placed Under Voluntary Wind-Up
----------------------------------------------
On November 26, 2010, the sole shareholder of Best of Brazil
Investment Fund, SPC resolved to voluntarily wind up the company's
operations.

Only creditors who were able to file their proofs of debt by
December 28, 2010, will be included in the company's dividend
distribution.

The company's liquidator is:

         Ogier
         Giorgio G. Subiotto
         Telephone: (345) 949-9876
         Facsimile: (345) 949-9877
         c/o Ogier
         89 Nexus Way
         Camana Bay, Grand Cayman KY1-9007
         Cayman Islands


CBO HOLDINGS: Creditors' Proofs of Debt Due January 6
-----------------------------------------------------
The creditors of CBO Holdings XI Ltd are required to file their
proofs of debt by January 6, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


FCM EUROPEAN: Creditors' Proofs of Debt Due January 7
-----------------------------------------------------
The creditors of FCM European Frontier Master Fund Limited are
required to file their proofs of debt by January 7, 2011, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on November 25,
2010.

The company's liquidator is:

         Ian D. Stokoe
         Name: Aaron Gardner
         Telephone: (345) 914-8655
         Facsimile: (345) 945-4237
         PO Box 258, Grand CaymanKY1-1104
         Cayman Islands


GOLDMAN SACHS: Creditors' Proofs of Debt Due January 6
------------------------------------------------------
The creditors of Goldman Sachs Alphaselect SPC are required to
file their proofs of debt by January 6, 2011, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


GOLDMAN SACHS: Creditors' Proofs of Debt Due January 6
------------------------------------------------------
The creditors of Goldman Sachs Managerselect SPC are required to
file their proofs of debt by January 6, 2011, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


GOLDMAN SACHS: Creditors' Proofs of Debt Due January 6
------------------------------------------------------
The creditors of Goldman Sachs Investorselect SPC are required to
file their proofs of debt by January 6, 2011, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


HVOM COMPANY: Commences Wind-Up Proceedings
-------------------------------------------
At an extraordinary general meeting held on November 2, 2010, the
shareholder HVOM Company Ltd. resolved to voluntarily wind up the
company's operations.

The company's liquidator is:

         Commerce Corporate Services Limited
         Telephone: 949-8666
         Facsimile: 949-0626
         P.O. Box 694, Grand Cayman
         Cayman Islands


IBS IV COMPANY: Creditors' Proofs of Debt Due January 6
-------------------------------------------------------
The creditors of IBS IV Company are required to file their proofs
of debt by January 6, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on November 26,
2010.

The company's liquidator is:

         Walkers SPV Limited
         c/o Anthony Johnson
         Telephone: (345) 914-6314
         Walker House
         87 Mary Street, George Town
         Grand Cayman, KY1-9002
         Cayman Islands


MUTUAL AND HEDGE: Creditors' Proofs of Debt Due January 6
---------------------------------------------------------
The creditors of Mutual and Hedge Fund-Linked Reference Fund (1-B)
Limited are required to file their proofs of debt by January 6,
2011, to be included in the company's dividend distribution.

The company commenced liquidation proceedings on November 25,
2010.

The company's liquidator is:

         Graham Robinson
         Telephone: (345) 949-7576
         Facsimile:  (345) 949-8295
         P.O. Box 897, Windward 1
         Regatta Office Park
         Grand Cayman KY1-1103
         Cayman Islands


MUTUAL FUND: Creditors' Proofs of Debt Due January 7
----------------------------------------------------
The creditors of Mutual Fund Basket Reference Fund (1-Y) Limited
are required to file their proofs of debt by January 7, 2011, to
be included in the company's dividend distribution.

The company commenced liquidation proceedings on November 25,
2010.

The company's liquidator is:

         Graham Robinson
         Telephone: (345) 949-7576
         Facsimile:  (345) 949-8295
         P.O. Box 897, Windward 1
         Regatta Office Park
         Grand Cayman KY1-1103
         Cayman Islands


MUTUAL FUND: Creditors' Proofs of Debt Due January 6
----------------------------------------------------
The creditors of Mutual Fund Basket Reference Fund (1-Z) Limited
are required to file their proofs of debt by January 7, 2011, to
be included in the company's dividend distribution.

The company commenced liquidation proceedings on November 25,
2010.

The company's liquidator is:

         Graham Robinson
         Telephone: (345) 949-7576
         Facsimile:  (345) 949-8295
         P.O. Box 897, Windward 1
         Regatta Office Park
         Grand Cayman KY1-1103
         Cayman Islands


PACIFIC LIFE: Creditors' Proofs of Debt Due January 6
-----------------------------------------------------
The creditors of Pacific Life CBO 1998-1 Ltd are required to file
their proofs of debt by January 6, 2011, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on November 25,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


PUGET CAYMAN: Creditors' Proofs of Debt Due January 6
-----------------------------------------------------
The creditors of Puget Cayman Islands Limited are required to file
their proofs of debt by January 6, 2011, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on November 26,
2010.

The company's liquidator is:

         Walkers SPV Limited
         c/o Anthony Johnson
         Telephone: (345) 914-6314
         Walker House
         87 Mary Street, George Town
         Grand Cayman, KY1-9002
         Cayman Islands


RELIANCE (CAYMAN): Creditors' Proofs of Debt Due January 6
----------------------------------------------------------
The creditors of Reliance (Cayman) Limited are required to file
their proofs of debt by January 6, 2011, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


SABAKA 2000: Creditors' Proofs of Debt Due January 6
----------------------------------------------------
The creditors of Sabaka 2000 Limited are required to file their
proofs of debt by January 6, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


SAPIC-98 REFERENCE: Creditors' Proofs of Debt Due January 6
-----------------------------------------------------------
The creditors of SAPIC-98 Reference Fund (19) Limited are required
to file their proofs of debt by January 6, 2011, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on November 25,
2010.

The company's liquidator is:

         Graham Robinson
         Telephone: (345) 949-7576
         Facsimile:  (345) 949-8295
         P.O. Box 897, Windward 1
         Regatta Office Park
         Grand Cayman KY1-1103
         Cayman Islands


TRUVA AVIATION: Creditors' Proofs of Debt Due January 6
-------------------------------------------------------
The creditors of Truva Aviation Limited are required to file their
proofs of debt by January 6, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on November 11,
2010.

The company's liquidator is:

         David Dyer
         Telephone: (345) 949-8244
         Facsimile: (345) 949-5223
         PO Box 1984, Grand Cayman KY1-1104
         Cayman Islands


===========
G U Y A N A
===========


WILZON ENTERPRISE: Guyana Bank Takes Loan Default Case to CCJ
-------------------------------------------------------------
Caribbean360.com reports that the Guyana Bank for Trade and
Industry has taken a multi-million dollar loan default case before
the Caribbean Court of Justice.  The report relates that the GBTI,
which is seeking redress in a long running loan dispute case, had
its civil appeal heard in the court room of the Trinidad-based law
court on December 28, 2010.

Caribbean360.com recounts that in 2002, GBTI sued the respondent,
Desiree Alleyne, an attorney-at-law, after Wilzon Enterprise
Incorporated, the company she represented, defaulted on a loan
worth GUY$10 million (US$50,000 at current rates).

Wilzon Enterprise borrowed the GUY$10 million from the bank in
1996, and Ms. Alleyne, who was a director at the company, gave a
personal guarantee for the loan, according to Caribbean360.com.
The report relates that the company later defaulted on the loan
and GBTI took legal action against Ms. Alleyne in 2002, when court
proceedings where filed in the High Court.

Caribbean360.com notes that Justice B.S. Roy heard the case in
2005 and judgment was granted against Ms. Alleyne in the sum of
GUY$10 million.  But the decision was reversed earlier this year
when the Guyana Court of Appeal heard the matter and dismissed the
case against Ms. Alleyne, the report relates.  Ruling in the case,
Justices of Appeal Yonette Cummings-Edwards and James Bovell-
Drakes ruled in favour of Ms. Alleyne while acting Chancellor Carl
Singh gave a dissenting judgment, Caribbean360.com discloses.

When the CCJ panel of judges heard the appeal on December 28,
2010, GBTI attorneys Kamal Ramkarran and Nikhil Ramkarran appeared
at the hearing in Trinidad along with Ms. Alleyne's lawyer, Lyndon
Amsterdam.  The court is expected to rule on the case shortly.

Guyana Bank for Trade and Industry was the first commercial bank
established in Guyana over 170 years ago.

Wilson Enterprise Inc. is a private company categorized under Tax
Return Preparation and Filing and located in Durham, NC.


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


AIR JAMAICA: Completion of Caribbean Airline Deal in Jeopardy
-------------------------------------------------------------
RadioJamaica reports that there are indications that the Trinidad
authorities are having concerns over the completion of the Air
Jamaica Limited deal.  The report relates that the information
came out as part of the public quarrel between the Trinidad
Transport Minister Austin "Jack" Warner and members of the Board
of Directors of Caribbean Airlines Limited.

Squabbles between the Trinidadian Transport Minister and the
Caribbean Airlines board about who makes decisions for the
airline, have brought into sharp focus, concerns about the Air
Jamaica deal, according to RadioJamaica.

In a release, the report notes, the board of CAL revealed that
three of its members visited Jamaica on November 18 after Captain
Ian Brunton, the airlines former chief executive officer,
suggested that the Trinidad government "should not complete the
Air Jamaica transaction" which had been approved by the previous
administration.

RadioJamaica says that it is not clear who the Board members
talked to or what was agreed during the visit but the sanctioning
of a trip to discuss the possibility of walking away from the deal
to acquire Air Jamaica runs counter to public statements by both
Mr. Warner and the Trinidadian Prime Minister Kamla Persad
Bissesar endorsing the deal.

Currently, the report says, Caribbean Airline is in a transition
stage with Air Jamaica in a plan that will see the Jamaican
airline absorbed into its operations with the Trinidadian carrier
assuming ownership of the assets.

All this should be completed by April 30, 2011, a deadline by
which Caribbean Airlines has the right to terminate its
transitional arrangement with the Jamaican Government on minimal
notice and with no penalty, the report adds.

                        About Air Jamaica

Headquartered in Kingston, Jamaica, Air Jamaica Limited --
http://www.airjamaica.com/-- was founded in 1969.  It flies
passengers and cargo to almost 30 destinations in the Caribbean,
Europe, and North America.  As reported in the Troubled Company
Reporter-Latin America on June 23, 2010, Trinidad and Tobago
Caribbean Airline on May 1, 2010, acquired Air Jamaica for US$50
million and operated six Air Jamaica aircraft and eight of its
routes.  Jamaica got a 16% stake in the merged operation, with CAL
owning 84%.  According to a TCRLA report on June 29, 2009,
RadioJamaica News said the Jamaican government indicated it will
name a buyer for cash-strapped Air Jamaica.  Radio Jamaica related
the airline has been hemorrhaging over US$150 million per annum
and the government has had to foot the massive bill.  In addition,
Radio Jamaica said, Air Jamaica currently has over US$600 million
in loans outstanding.

                          *     *     *

As of August 18, 2010, the airline continues to carry Moody's "B3"
long-term, long-term corporate family, and senior unsecured debt
ratings.


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


FINANCIERA INDEPENDENCIA: S&P Puts 'BB-' Rating on Negative Watch
-----------------------------------------------------------------
Standard & Poor's Ratings Services said that it placed its 'BB-'
long-term counterparty credit rating on Financiera Independencia
S.A.B. de C.V. SOFOM, E.N.R. on CreditWatch with negative
implications.

The rating action follows Financiera Independencia's announcement
that it has signed an agreement to acquire Apoyo Economico
Familiar S.A. de C.V. SOFOM, E.N.R. and a 77% ownership share in
Apoyo Financiero Inc. Both companies are primarily focused on
consumer and microfinance lending.  "In S&P's opinion, this
acquisition could affect Financiera Independencia's financial
profile, as it could bring a large amount of goodwill that could
significantly pressure the company's adjusted capitalization,"
said Standard & Poor's credit analyst Arturo Sanchez.

S&P aim to resolve the CreditWatch once the transaction is closed
and approved by the respective Mexican authorities.  S&P will also
conclude S&P's analysis once S&P has all pertinent information
regarding the amount of goodwill that will be generated and how
its adjusted capitalization measures will look after the
acquisition.  S&P will also weigh the impact of the deal on the
company's business profile in terms of geographic diversification,
branching network, and customer base, as well as asset quality and
earnings prospects for the next two years.


FINANCIERA INDEPENDENCIA: Fitch Puts BB- Rating on Negative Watch
-----------------------------------------------------------------
Fitch Ratings has placed Financiera Independencia's 'BB-' long-
term Issuer Default Ratings on Rating Watch Negative following the
announcement that Findepe has reached an agreement to acquire its
smaller competitor Apoyo Economico Familiar and a U.S.-based
entity named Apoyo Financiero Inc. for a combined amount of MXN
1.18 billion.

At the same time, Fitch placed the long- and short-term national
scale ratings of Findepe ('A(mex)/F1(mex)', as well as those of
its wholly-owned subsidiary Financiera Finsol, S.A. de C.V.
('BBB+(mex)/F2(mex)' on Rating Watch Negative.  A full list of
rating actions follows at the end of this press release.

The acquired entities are small relative to Findepe's size.  On a
pro forma and consolidated basis, the integration of AEF and AFI
will expand Findepe's loans and assets by 15% and 23%,
respectively, based on figures as of the third quarter of 2010
(3Q'10).  However, Fitch considers that, given the proposed terms
of the transactions, Findepe's capital adequacy would deteriorate
significantly, which will likely downward pressure its ratings.
To a lesser extent, some expected negative effects, although
moderate, on the company's liquidity position, as well as the
execution and integration risks associated to these transactions,
also weigh on the downside potential of the ratings.  In turn,
Fitch expects that the integration of AEF and AFI could have some
neutral or slightly positive effects on Findepe's asset quality,
overall profitability, and business risk.

Findepe agreed to pay MXN 1.18 billion for the two companies with
combined equity bases of roughly MXN 200 million, which implies a
sizable premium in Fitch's opinion.  Given Findepe's equity base
of roughly MXN 3 billion as of 3Q'10, the arising goodwill is
hefty and burdensome.  Coupled with the all-cash nature of the
acquisitions, capital adequacy is expected to weaken materially.
Fitch's definition of core capital, which deducts certain low
quality assets from reported equity (primarily goodwill in the
case of Findepe), is expected to decrease to roughly MXN 1.1
billion from MXN 2.1 billion as of 3Q'10 on a pro forma basis.
Relative to total assets, the core capital ratio would decrease to
10.5% from 24.2%, while leverage (total liabilities to core
capital) would increase to 6.8x from 2.7x.

Fitch will solve the watch status upon completion of the
acquisitions, which is targeted by 1Q'11.  Fitch expects that the
most likely outcome when the acquisitions are completed is a
downgrade of Findepe's long-term IDRs by at least one notch.  The
rating outcome will be based on Fitch's assessment of Findepe's
ability to rapidly rebuild core capital, given its consistent and
stable track record of strong earnings, but given the significant
increase in leverage, Fitch expects that restoring pre-
acquisitions capital ratios will only occur gradually.  Other
rating considerations are related to how the company addresses its
liquidity and funding profiles, and the operational challenges
arising from these transactions.  In addition, Fitch will assess
the gradual impact on margins and overall profitability from a
rapidly growing and more leveraged balance sheet (both organically
and through acquisitions), since the company's ability to sustain
high margins is critical to absorb the sizable credit costs and
loan loss reserves needs inherent in this business line.  The
national-scale long-term ratings of both Findepe and Finsol are
likely to be downgraded by at least one notch upon completion of
the acquisitions.

Fitch has placed these ratings on Rating Watch Negative:

Findepe:

  -- Long-term foreign and local currency IDRs 'BB-';

  -- US$200 million senior guaranteed notes due 2015 'BB-';

  -- National-scale long term rating 'A(mex)';

  -- National-scale short term rating 'F1(mex)';

  -- National-scale long term rating for local issues of senior
     unsecured debt 'A(mex)'.

Finsol:

  -- National-scale long term rating 'BBB+(mex)';
  -- National-scale short term rating 'F2(mex)';

Fitch affirmed these ratings:

Findepe:

  -- Short-term foreign and local currency IDRs at 'B';


MBIA MEXICO: S&P Downgrades Financial Strength Rating to 'B'
-------------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its
financial strength rating on MBIA Mexico S.A. de C.V. to 'B' from
'BB+'.  At the same time, S&P lowered its national scale rating on
MBIA Mexico to 'mxBB+' from 'mxA'.  The outlook is negative.

The rating actions mirror the action taken on MBIA Mexico's U.S.-
based parent, MBIA Insurance Corp. (B/Negative/--).  "The rating
on the Mexican subsidiary is based on the comprehensive support
MBIA Insurance provides to it in the form of a reinsurance
agreement that calls for MBIA Mexico to cede 100% of its net
exposure to MBIA, and a net-worth maintenance agreement from
MBIA," said Standard & Poor's credit analyst Barbara Carreon.

S&P downgraded MBIA because its stress-case loss projections for
the company's collateralized debt obligations of asset-backed
securities and its commercial real estate-related exposures are
now significantly higher than previously projected and
significantly exceed the company's capital resources.  However,
these loss expectations do not require immediate cash outflows,
and the company has adequate liquidity for the next few years.

S&P now view CRE as being under moderate stress, and S&P has
modified S&P's methodology to exclude any previously applied
diversification benefits.  This change in methodology results in a
substantial increase in stress-case losses.  In addition, changes
to S&P's modeling methodology for assessing residential mortgage
backed securities and updated criteria for assessing CDOs (both
ABS and CRE-backed) have resulted in higher stress-environment
loss projections for these asset classes.  Stress-case loss
projections do not reflect the losses S&P expects to occur, but
rather reflect S&P's view of potential losses in a stressed
environment.

The negative outlook reflects the possibility that losses in the
structured finance book could continue, diminishing liquidity and
weakening capital.  Liquidity is currently adequate to meet
projected claims payments for the next several years, but there
could be increased losses and earnings volatility.  If the company
exhibits increased losses and diminished liquidity--such that the
time horizon to possible insolvency shortened to two years or
less--S&P could lower the ratings again.

The negative outlook on the national scale rating on MBIA Mexico
reflects the fact that a further downgrade of MBIA Insurance would
lead us to lower the 'mxBB+' national scale rating.


=======
P E R U
=======


* PERU: Moody's Puts 'Ba1' Rating on City of Lima
-------------------------------------------------
Moody's assigned a first-time local currency issuer rating of Ba1
to the City of Lima, Peru.  The outlook on the rating is stable.

The rating reflects Lima's diversified local economy, which
generates wealth levels above the national average and supports a
relatively strong own-source revenue base.  "Between 2005 and
2009, own source revenues represented, on average, 87.1% of total
revenues, a very high level", said Patricio Esnaola, Associate
Analyst in Moody's Sub-Sovereign Group.  The rating also takes
into account Lima's uneven financial performance, driven primarily
by operating pressures, leading to increasing borrowing
requirements.  These credit challenges are partially compensated
by solid liquidity levels and a well structured debt framework,
based on a payment trust, which offer additional security to loan
and bond holders.

                        Ratings Rationale

While the national congress is responsible for setting tax rates
and bases, which as of December 2009 accounted for roughly 50% of
the city's own-source revenues, Lima retains control over the
remaining half of own-source revenues and also exercises some
broad control over expenditures.

On the expenditure side, Lima faces significant pressures.
"Between 2005 and 2009, current expenditures grew at a compound
annual growth rate of 22.3% compared to a 15.6% increase in
revenues", said Esnaola.  Accordingly, the city recorded uneven
fiscal outcomes in recent years (measured as total revenues minus
total expenditures, without considering cash balances) with
consolidated cash financing surpluses in 2005, 2007 and 2008,
equivalent, on average, to 7.3% of total revenues, and consoidated
cash financing requirements of -13.1% in 2006 and -26.2% in 2009.

As a result of these sizable borrowing requirements, Lima's credit
profile is characterized by an increasing debt burden.  Net direct
and indirect debt increased to 49.6% of total revenue in 2009, up
from 25.6% in 2005, while the proportion of foreign currency debt
within the total stock of debt increased to 42.9% in 2009, from
15.0% in 2005.  The increase in debt burden and foreign currency
exposure is offset by two principal considerations.

First, all of the city's foreign currency debt is made up of
loans, from international multi-lateral agencies, which are
guaranteed by the Government of Peru (Baa3, stable outlook).
Second, all of the city's remaining debt-domestic market bank
loans and bonds-is backed by a mechanism under which a centralized
trust receives a share of own-source revenues and pays debt
service obligations prior to sending remaining funds to other
trusts that the municipality has created for general spending.
This mechanism generates dedicated cashflows and relatively strong
coverage for debt service, offering additional security to loan
and bond holders.

"Lima's creditworthiness is also supported by a relatively strong
liquidity position.  Between 2005 and 2009, the city's cash and
liquid investments, less current liabilities, amounted to 12.0% of
total expenditures, on average, a fairly solid level relative to
international peers", explains Esnaola.


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


MEDSCI DIAGNOSTICS: Court Expands Contract Validity Ruling
----------------------------------------------------------
Judge Enrique S. Lamoutte of the United States Bankruptcy Court
for the District of Puerto Rico denied the State Insurance Fund
Corporation's motion for reconsideration of the Court's Nov. 24
ruling confirming the validity of the contract between the SIF and
MEDSCI Diagnostics, Inc.  The Court also clarified and expanded
the Order.

The Troubled Company Reporter published a story on the ruling on
December 7, 2010.

The case is Medsci Diagnostics, Inc., v. State Insurance Fund
Corp., through its Administrator Zoime Alvarez Rubio, et al., Adv.
Pro. No. 10-0094 (Bankr. D. P.R.).  A copy of the Court's Opinion
and Order, dated December 23, 2010, is available at
http://is.gd/jxns1from Leagle.com.

San Juan, Puerto Rico-based Medsci Diagnostics, Inc., filed for
Chapter 11 bankruptcy protection on June 6, 2010 (Bankr. D. P.R.
Case No. 10-04961).  Edgardo Munoz, Esq., at Edgardo Munoz, PSC,
assists the Debtor in its restructuring effort.  The Company
disclosed US$57,900,732 in total assets and US$6,770,211 in total
debts in its schedules.


MULTI-PLASTICS INC: Seeks Court's Nod to Use Cash Collateral
------------------------------------------------------------
Multi-Plastics, Inc., seeks authority from the Hon. Brian K.
Tester of the U.S. Bankruptcy Court for the District of Puerto
Rico to use US$100,000 of cash collateral.

Firstbank of Puerto Rico, with the guarantee of Banco de
Desarrollo Economico, issued various loans to the Debtor
approximating US$3 million secured by mortgage over real estate
property of the estate, and a security interest over cash,
accounts receivable, inventory and machinery and equipment.

Wallace Vazquez Sanabria, Esq., in San Juan, Puerto Rico, explains
that the Debtor needs the money to fund its Chapter 11 case, pay
suppliers and other parties.  The Debtor wants to use the first
US$100,000 collected in accounts receivable and the proceeds from
the sale of the finished goods in the initial days of the
bankruptcy proceeding.  The Debtor will use the collateral
pursuant to a five-week budget, a copy of which is available for
free at:

       http://bankrupt.com/misc/MULTI-PLASTICS_budget.pdf

In exchange for using the cash collateral, the Debtor proposes to
grant the affected creditors a superpriority over the US$150,000
advanced, which advance will be paid to the creditors commencing
on the ninth month after approval of the use of cash collateral in
equal monthly installments of US$10,000.

The balance of the accounts receivable and the raw materials
inventory will be segregated and disbursed to the creditor upon
collection on a monthly basis all proceeds from the balance of the
accounts receivable, while paying back the balance of the raw
materials inventory as the same is used and the sale is collected.

In view of the high financing costs that the Debtor has incurred
in the last few years the Debtor has incurred in the last few
years the Debtor is proposing to transfer the real estate to the
creditors who hold liens with a lease back provision which will
allow the Debtor to continue using the property.

The Court has set a hearing for January 12, 2011, at 9:00 a.m. on
the Debtor's request to use cash collateral.

Multi-Plastics, Inc., filed for Chapter 11 bankruptcy protection
on December 8, 2010 (Bankr. D. P.R. Case No. 10-11493).  Wallace
Vazquez Sanabria, Esq., who has an office in San Juan, Puerto
Rico, serves as the Debtor's bankruptcy counsel.  The Debtor
estimated its assets and debts at $1 million to $100 million.


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


CL FIN'L: Lascelles deMercado Dividend Payout Stirs Interest
------------------------------------------------------------
RadioJamaica reports that the $1 billion dividends pay out by
Jamaican spirits producer Lascelles deMercado and Company has
caught the attention of a group of policyholders in Trinidad and
Tobago.  Lascelles is a subsidiary of the collapsed CL Financial
Limited.

A group representing policyholders in CLICO, another CL Financial
subsidiary, wants to know where the money from the Jamaican
company is going, according to RadioJamaica.

The report notes that Lascelles deMercado said it will pay out a
little over one billion dollars to holders of its 96 million
stocks on January 13.

With the CL Financial group and its subsidiaries holding 86.8% of
the shares, the majority payment of $917 million will flow to
Trinidad, the report says.

Deputy Chairman of the CLICO Policyholders group, Peter Permell,
in a statement said that this development vindicates concerns
about the overall absence of transparency and proper
accountability in the affairs of CL Financial, the report adds.

                       About CL Financial

CL Financial Limited is a privately held conglomerate in Trinidad
and Tobago.  Founded as an insurance company, Colonial Life
Insurance Company by Cyril Duprey, it was expanded into a
diversified company by his nephew, Lawrence Duprey.  CL Financial
is now one of the largest local conglomerates in the region,
encompassing over 65 companies in 32 countries worldwide with
total assets standing at roughly US$100 billion.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
August 10, 2009, A.M. Best Co. downgraded the financial strength
rating to C (Weak) from B (Fair) and issuer credit rating to "ccc"
from "bb" of Colonial Life Insurance Company (Trinidad) Limited
(CLICO) (Trinidad & Tobago).  The ratings remain under review with
negative implications.  CLICO is an insurance member company of CL
Financial Limited (CL Financial), a diversified holding company
based in Trinidad & Tobago.

According to a TCRLA report on Feb. 20, 2009, citing Trinidad and
Tobago Express, Tobago President George Maxwell Richards signed
bailout bills for CL Financial, giving the government the
authority to control the company's unit, Colonial Life Insurance
Company, and giving the central bank extensive powers to treat
with CL Financial's collapse and the consequent systemic crisis.


                            ***********

Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Monday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-LA constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-LA editor holds
some position in the issuers' public debt and equity securities
about which we report.

Tuesday's edition of the TCR-LA features a list of companies
with insolvent balance sheets obtained by our editors based on
the latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.

A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR-LA. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com


                            ***********


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., Frederick,
Maryland USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Psyche A. Castillon, Julie Anne G.
Lopez, Ivy B. Magdadaro, Frauline S. Abangan, and Peter A.
Chapman, Editors.

Copyright 2010.  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$625 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 Christopher Beard at 240/629-3300.



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