Corporate Services Providers (CSP) - Important Notice (2016-07-01)

Summary

This is a notice from the Bermuda Monetary Authority extending the deadline for institutions carrying on corporate services business to apply for a Corporate Services Provider (CSP) licence. It applies to any institution conducting corporate services business as defined under the Corporate Service Provider Act 2012, unless exempted.

• Extended deadline: The deadline to submit a CSP licence application is extended to 1 October 2016.
• Licence requirement: Institutions carrying on corporate services business as defined under Sub Section 2(2) of the Corporate Service Provider Act 2012 must submit a licence application unless otherwise exempted.
• Offence for non compliance: It is an offence to continue carrying on CSP business after 1 October 2016 without having submitted an application for a limited or unlimited licence.
• Continuity of processing: Incorporation applications, partnership establishments, share issue/transfer permissions under the Exchange Control Act, and partner change approvals will continue to be processed via the CRP system in the current manner for all applicants.
• Future filing obligations: Once CSP licences are issued, unlimited licence holders will be required to file a Form 1 for new incorporations and documentation for share issue/transfer and partnership changes, in accordance with the final terms of the Beneficial Ownership Framework determined by the Minister of Finance.

Key obligations

• Institutions carrying on corporate services business as defined under the Corporate Service Provider Act 2012 must submit an application to the Authority for a CSP licence unless exempted.
• Institutions must not continue carrying on CSP business after 1 October 2016 without having submitted a licence application, or they commit an offence.
• Once CSP licences are issued, unlimited licence holders must file a Form 1 for new incorporations and submit documentation for share issue/transfer and partnership changes in line with the Beneficial Ownership Framework.

Applies to

Corporate Services Providers, institutions carrying on corporate services business

Deadlines

• 1st October 2016: Extended deadline for submission of CSP licence applications; carrying on CSP business after this date without an application is an offence.