Changes to Operation and Use of SIPP Registry

Photo: Mark Bell Deputy Chief Executive Officer of the Companies Office of Jamaica (COJ), Shellie Leon (right), provides details on changes to the Security Interests in Personal Property (SIPP) Registry, at a JIS Think Tank. Looking on are Chief Executive Officer, Judith Ramlogan (centre); and Customer Service Manager, Inger Hainsley-Bennett.

Story Highlights

  • The Companies Office of Jamaica (COJ) has implemented changes to the overall operation and use of the Security Interests in Personal Property (SIPP) Registry in order to better protect the information stored on the database.
  • Deputy Chief Executive Officer at COJ, Shellie Leon, said users of the registry will now need an account to access certain information and carry out a search.
  • Miss Leon explained that the searches will now be done through a two-tiered system.

The Companies Office of Jamaica (COJ) has implemented changes to the overall operation and use of the Security Interests in Personal Property (SIPP) Registry in order to better protect the information stored on the database.

Deputy Chief Executive Officer at COJ, Shellie Leon, said users of the registry will now need an account to access certain information and carry out a search.

“Initially, anybody could go on the registry and do a public search, however, members of the public felt that there may be an invasion of their privacy,” she told JIS News.

“So, what the COJ and the Government of Jamaica (GOJ) have done in order to balance the interest of the public and the ease of giving credit, is to allow public searches, but to do this on a restricted basis…so persons will have to create an account before they can go on the registry and do a search,” she informed.

Miss Leon explained that the searches will now be done through a two-tiered system.

“So when someone logs on, the first level of information that they can get is the name of the debtor and a description of the collateral and information relating to the secured, which is the person, who grants the loan…so they will be able to get that person’s name and contact information,” she informed.

The second tier of search takes place upon the payment of a fee, and will grant more information with a more detailed description of the asset, the amount borrowed and other information in regard to the loan.

Miss Leon pointed out that the imposition of a fee is intended to ensure that only persons, who have a serious interest and a valid reason to search, will proceed to this second tier.

She said the changes that have been implemented seek to ensure that whoever goes on the site can be traced, as in order to set up an account, persons must present their Tax Registration Number (TRN) as well as date of birth.

“So when you enter that information this will be validated against the TRN database and gives some level of assurance that the person, who is creating the account is indeed one on the same person,” she added.

The Deputy CEO told JIS News that the changes involved the input of several stakeholders including customer interest groups; financial institutions; micro-lenders; COJ and other government entities, which made submissions in terms of recommendations and solutions.

Implemented by the COJ in January 2014, the SIPP Registry is a repository of information on non-real estate assets being tendered as collateral for securing loans under the SIPP Act.

These include motor vehicles, stocks and securities, agricultural products, crops and other agricultural yields, (e.g. plants, trees and land) machinery and equipment, accounts receivable and futures, for example, future crops, future acquisition of security interests, and unborn livestock.

In addition, owners of creative works, innovators and inventors, are now able to leverage their intellectual property, such as copyright, patents and trademarks to be used as collateral in securing loans.

As it relates to the use of the Registry, Miss Leon informed that currently there are over 120 subscribers consisting of mainly financial institutions such as banks and other lending facilities.

“It is the lenders themselves who go on and upload the data to the site…so the lender goes and create a registration notice, which will include the details of the debtor and the security,” she outlined.

“The COJ enters no data and we are not responsible for any data placed on the site…we are facilitating commerce and credit by keeping this Registry up and running for you, the private parties to come on and place your data,” Miss Leon said.

She noted further that “the site is merely a notice and an alert to the third party to say go and check because this asset that you wish to use, somebody else might have an interest in it.”

 

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