Debate Begins on Bill To Regulate International Trust And Corporate Service Providers
By: , October 29, 2021
Photo: Donald De La Haye
The House of Representatives began debate on the International Corporate and Trust Services Providers (Change of Name and Amendment) Act, 2021, on Wednesday (October 27). Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, said the Bill seeks to amend the International Corporate and Trust Services Providers Act (the Principal Act), which was passed and assented to on August 18, 2017 and awaits an appointed day. The Principal Act seeks to regulate international trust and corporate service providers to prevent the misuse of these business arrangements as vehicles for illicit ends, such as money laundering and terrorism financing. “The Bill aims to remove the distinction in treatment between the domestic and international service providers by bringing domestic services providers under the ambit of the legislation and to strengthen the provisions of the Principal Act,” Dr. Clarke said. He noted that the Principal Act sought to regulate providers of international trust and corporate services and applies to individuals, firms and companies that engage in the business of providing international services. “However, whilst the Act awaited the development and promulgation of regulations, it was recognised that there was a need to include domestic corporate and trust providers into the regulatory ambit of the Act, because to maintain any distinction in treatment between the domestic and international service providers would run afoul of the requirements and standards of the Financial Action Task Force (FATF) requirements,” Dr. Clarke said. (more) Debate begins…2 “Importantly, this was amongst the deficiencies cited in Jamaica’s anti-money laundering countering of terrorism financing supervisory regime and contributed to Jamaica’s inclusion in the current FATF grey list issued on February 21, 2020, as a jurisdiction subject to increased monitoring,” he added. (more) The Minister said the amendment to the Act is critical to redeeming Jamaica’s standing and forms part of the suite of actions that are required for the country’s removal from any of those listings by FATF. Debate on the Bill was suspended and will continue during another sitting of the House of Representatives.The Full Story
The House of Representatives began debate on the International Corporate and Trust Services Providers (Change of Name and Amendment) Act, 2021, on Wednesday (October 27).
Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, said the Bill seeks to amend the International Corporate and Trust Services Providers Act (the Principal Act), which was passed and assented to on August 18, 2017 and awaits an appointed day.
The Principal Act seeks to regulate international trust and corporate service providers to prevent the misuse of these business arrangements as vehicles for illicit ends, such as money laundering and terrorism financing.
“The Bill aims to remove the distinction in treatment between the domestic and international service providers by bringing domestic services providers under the ambit of the legislation and to strengthen the provisions of the Principal Act,” Dr. Clarke said.
He noted that the Principal Act sought to regulate providers of international trust and corporate services and applies to individuals, firms and companies that engage in the business of providing international services.
“However, whilst the Act awaited the development and promulgation of regulations, it was recognised that there was a need to include domestic corporate and trust providers into the regulatory ambit of the Act, because to maintain any distinction in treatment between the domestic and international service providers would run afoul of the requirements and standards of the Financial Action Task Force (FATF) requirements,” Dr. Clarke said.
“Importantly, this was amongst the deficiencies cited in Jamaica’s anti-money laundering countering of terrorism financing supervisory regime and contributed to Jamaica’s inclusion in the current FATF grey list issued on February 21, 2020, as a jurisdiction subject to increased monitoring,” he added.
The Minister said the amendment to the Act is critical to redeeming Jamaica’s standing and forms part of the suite of actions that are required for the country’s removal from any of those listings by FATF.
Debate on the Bill was suspended and will continue during another sitting of the House of Representatives.