Banks and Trust Companies (Amendment) Act, 2024

Summary

This Act amends the Banks and Trust Companies Act, Revised Edition 2020, to broaden what counts as 'trust business' and to add a new condition for banking licence applicants relating to deposit insurance. It does not create a wholly new regulatory regime but modifies specific provisions of the existing Act.

• Trust business definition: The definition of 'trust business' in section 2(1) is expanded to include performing the equivalent function for another form of legal arrangement, not just traditional trusts.
• Banking licence applications: Section 4 is amended so that an applicant for a banking licence must give a written undertaking to provide the Commission with a copy of its deposit insurance policy, issued under the Virgin Islands Deposit Insurance Act, No. 7 of 2016, within 6 months of the licence being issued.
• Commencement: The Act comes into force on a date to be appointed by the Minister by Notice published in the Gazette, rather than immediately on passage or gazetting.

Firms operating or seeking to operate as banks or trust companies in the Virgin Islands, and applicants for banking licences, should note the expanded trust business definition and the new deposit insurance undertaking requirement once the Act is brought into force.

Key obligations

• An applicant for a banking licence must provide a written undertaking to the Commission to supply a copy of its policy of deposit insurance, issued under the Virgin Islands Deposit Insurance Act, No. 7 of 2016, within 6 months of the issue of the banking licence.

Applies to

banks, trust companies, applicants for a banking licence

Deadlines

• within 6 months of the issue of the banking licence: Banking licence holder (via undertaking made at application) must provide the Commission with a copy of its deposit insurance policy.

Related documents

• This document amends Banks and Trust Companies Act (Revised Edition 2020)