There are a number of regulatory developments in these jurisdictions which we would like to draw to your attention.
BVI
The Beneficial Ownership Secure Search System Act, 2017 (the "BOSS Act") comes into force in the BVI on 30 June 2017. The BOSS Act was almost immediately amended by the Beneficial Ownership Secure Search System (Amendment) Act, 2017, which also comes into force on 30 June.
The system is being rolled out so that the BVI can comply with its obligations under the Exchange of Notes agreement entered into with the UK in April 2016 (UK Exchange of Notes). It was agreed that the BVI would share beneficial ownership information for corporate and legal entities established in the BVI with the UK authorities. The system is therefore designed to ensure that details on beneficial owners of certain BVI companies is collected and maintained.
Importantly, this beneficial ownership information will not be made available to the public. Access to beneficial ownership secure search information is restricted to designated persons who have passed security vetting tests, have made an oath of confidentiality, and are considered fit and proper by the BVI authorities.
Under section 9(6) of the BOSS Act, the obligation to provide updated beneficial ownership information rests on the BVI company.
A BVI company that fails to comply with this section commits an offence and may be subject to a fine up to US$250,000 or to imprisonment for a term not exceeding 5 years, or both.
For details, please click here.
Cayman Islands
The Cayman Islands Government recently amended and passed new legislation for Cayman Companies and Cayman Limited Liability Companies to create and maintain a Register of Beneficial Ownership. The new legislation comes into effect on 30 June 2017.
Cayman Companies that are subject to the new legislation are required to engage their Cayman corporate service provider to establish and maintain the Register.
For details, please click here.
Seychelles
The International Business Companies Act, 2016 which came into force on 1 December 2016 is now the governing law of Seychelles IBCs. There is, however, an amending Bill currently passing through the legislative process. If it becomes law, it is likely to amend the 2016 Act with effect from 1 December 2016.
Under the 2106 Act, there is a new requirement for an IBC to file the Register of Directors (ROD) with the Registrar by 30 November 2017. The new legislation also requires an IBC to ensure the relevant registers are maintained at the registered office in Seychelles. These include the Register of Members, Register of Directors, Register of Charges and Register of Beneficial Owners.
For details, please click here.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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