As of 6 April 2016, there are new Regulations which will be in place which will have an impact on all private unlisted companies and LLPs.
The draft Register of People with Significant Control Regulations 2016 ("Regulations") will be in force from 6 April 2016 and they will require all UK unlisted companies and LLPs, to supply information of all those people who have significant control ("PSC") over the company or LLP, or a relevant legal entity (ie a company or LLP) who has significant control over the company or LLP ("RLE").
The obligations to maintain a Register are strict and there are criminal sanctions for non compliance by way of a fine and/or imprisonment, which extends to the directors of the company or members of the LLP required to keep a Register.
Due to the severity of the sanctions, it is essential that the Regulations are followed.
Steps you must take now:
1. Identify who you believe may be a PSC or RLE of your company or LLP;
2. If you believe you may be a PSC then you are required to disclose this to the company or LLP;
3. Send a notice requesting the relevant information required to be listed on the register;
4. Record the relevant information in your Register. The Register will need to be kept at the registered office of the company or LLP; and
5. From June 2016, your PSC information will need to be filed at Companies House and the filing of this information will form part of the new annual confirmation process, which will replace the current annual return process.
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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