Unravelling
Complexity

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Unravelling Complexity

107 Results

Enhanced AML supervisory powers given to CIMA under money laundering legislation
Investment Funds

Enhanced AML supervisory powers given to CIMA under money laundering legislation

Under recent changes to the Cayman Islands Anti-Money Laundering Regulations (AML Regulations), the powers of the Cayman Islands Monetary Authority (CIMA), as the supervisory authority for anti-money laundering in the Cayman Islands, have been enhanced to allow CIMA to obtain information in relation to any relevant financial business from a broader category of persons than was previously the case.
BVI FSC signs memorandum of understanding with UK FCA
Regulatory and Tax

BVI FSC signs memorandum of understanding with UK FCA

Given the global harmonisation of the various financial markets and the increase in cross-border operations and activities of managers of alternative investment funds (AIFs), the BVI’s Financial Services Commission and the UK’s Financial Conduct Authority have signed a memorandum of understanding (MoU) relating to mutual legal assistance in the supervision of managers of AIFs, their delegates and depositaries that operate on a cross-border basis in the BVI and the UK. The MoU is generally structured similarly to an information exchange agreement. The MoU comes into force on the date the European Union legislation cease to have direct effect in the UK.
Cayman Court provides valuable guidance on dealing with frozen assets under Libyan sanctions
Regulatory and Tax

Cayman Court provides valuable guidance on dealing with frozen assets under Libyan sanctions

In Palladyne International Asset Management B.V. v Upper Brook (A) Ltd and Others, the Grand Court of the Cayman Islands issued important judicial guidance regarding the extent to which the dealing restriction under the Libyan sanctions regime was applicable in the Cayman Islands. In particular, the court was asked to examine the scope and meaning of the restriction on the ‘use’ of funds frozen under the Libya (Restrictive Measures) (Overseas Territories) Order 2011.
British Virgin Islands: No extension to FATCA and CRS reporting deadline for reporting Financial Institutions
Regulatory and Tax

British Virgin Islands: No extension to FATCA and CRS reporting deadline for reporting Financial Institutions

The BVI ITA announced yesterday that the FATCA and CRS reporting deadline for all reporting Financial Institutions (FIs) other than Trustee Documented Trusts (TDT) remains 31 May 2019. TDTs with CRS reportable accounts have until 28 June 2019 to complete their CRS reporting for the 2018 calendar year.
Economic substance in the Cayman Islands
Investment Funds

Economic substance in the Cayman Islands

The International Tax Co-operation (Economic Substance) Law (the ES Law) was introduced in the Cayman Islands on 1 January 2019 in response to OECD’s Base Erosion and Profit Shifting framework and related EU initiatives in relation to what are known as ‘Geographically Mobile Activities’. Under the ES Law any relevant entity which carries on a relevant activity and receives relevant income in a financial period must satisfy the economic substance test in relation to that activity (ES Test) and make an annual filing with the TIA. Aside from the basic filing requirements, a relevant entity which does not carry on any relevant activity is not required to satisfy the ES Test. Harneys has issued a guide to assist directors and operators of Cayman Islands companies and limited liability partnerships.
Sanctions screening guidance - Wolfsberg Group
Regulatory and Tax

Sanctions screening guidance - Wolfsberg Group

The Wolfsberg Group is an industry association of 13 global banks which came together in October 2000 with the objective of developing financial service industry standards. In January 2019, the Wolfsberg Group issued guidance on sanctions screening (the Guidance) aiming to help Financial Institutions (FIs) understand and develop controls which would detect, prevent and in the event of breach, manage any apparent sanctions risk. The aim of the Guidance is not for all FIs to apply the elements outlined, rather, it seeks to demonstrate where sanctions screening can be an effective part of a wider sanctions compliance programme.