Registered Persons now exempt from beneficial ownership requirements
Changes to the Cayman Islands beneficial ownership provisions, which directly impact Registered Persons, came into force on 29 June 2020.
Those companies that are registered as Registered Persons under the Securities Investment Business Law (Law) are no longer required to comply with the beneficial ownership obligations under the Companies Law or the Limited Liability Companies Law, as applicable.
Although a Registered Person’s obligation to comply with beneficial ownership has ceased, Registered Persons are reminded that they have ongoing obligations under the Law (which were not previously imposed on excluded persons) which are set out in our client alert.
We also remind Registered Persons that CIMA now has substantial enforcement powers to ensure effective regulatory oversight of Registered Persons and their compliance with the obligations under the Law. These powers and oversight were not previously applicable to excluded persons.