Most Read Contributor in Cayman Islands, September 2016
The Cayman Islands Government today issued a report stating that
it will continue its current method of providing beneficial
ownership information to law enforcement, tax and regulatory
authorities, as the method adheres to global standards.
As explained in its
Consultation Report on Maintenance of Legal and Beneficial
Ownership Information, Government's decision was based in
part upon responses from local and international companies,
individuals, and non-governmental organisations, given during a
public consultative period held from 15 November 2013 to 28
February 2014. The consultation was conducted by the Ministry of
Financial Services and Commerce.
In the report, Government notes that the Financial Action Task
Force (FATF) Recommendations outline three avenues by which a
country can comply with the global availability of information
Minister of Financial Services and Commerce, Wayne Panton, said
the UK is now taking steps to adhere with the standard via one of
these avenues, by consolidating information into a central
register; and that the UK has been in discussion with its Crown
Dependencies and Overseas Territories regarding whether central
registers should be implemented in their jurisdictions as
However, Minister Panton noted that Cayman has been adhering to
the global standard for more than a decade, by providing this
information to law enforcement, tax and regulatory authorities from
data collected, verified and maintained by licensed and regulated
corporate service providers.
'Both of these methods are acceptable under the FATF
Recommendations', Minister Panton said.
Government's report also notes that although they are global
in nature, the FATF Recommendations allow jurisdictional
flexibility – not in the intended outcome of the
recommendations, but in how that outcome is achieved.
Furthermore, Cayman's CSP regime adheres to the core set of
principles in the G20's High-Level Principles on Beneficial
Ownership Transparency, which was issued in November this year.
For these reasons, Government states in its report: 'Until
such time as there is global agreement on appropriate exemptions
and safeguards, and this becomes the internationally practiced
standard, the Cayman Islands will continue to follow its CSP
Also in the report, Government outlines steps that it will take
to further strengthen Cayman's framework through enhanced
accuracy, access, availability and monitoring/enforcement of
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.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
Many people are baffled by trusts, the purpose of which they don't fully comprehend. Some even regard them with suspicion, as tools of of opaque tax evasion strategies of a type favoured by wealthy individuals.
We were recently instructed by a Bank in relation to a regulatory matter. The Bank had made a suspicious activity report to the Financial Investigation Unit ("FIU") due to their concerns about the potential source of funds in an account.
Many of us will have heard the recent claim by Donald Trump in the US presidential election that, if elected, he will ensure that a 1,000 mile border wall is constructed between the US and Mexico...
Some comments from our readers… “The articles are extremely timely and highly applicable” “I often find critical information not available elsewhere” “As in-house counsel, Mondaq’s service is of great value”
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).