Trustee (Amendment) Act, 2024

Summary

This Act amends the BVI Trustee Act, Revised Edition 2020, to impose statutory beneficial ownership obligations on trustees. It inserts a new section 92B requiring trustees of Applicable Trusts to collect, verify, update and retain beneficial ownership information, and to cooperate with competent authorities and law enforcement. It also expands the definitions in section 92A to include beneficial owner, beneficial owner information, and Commission. The Act commences on a date to be appointed by the Minister via Gazette notice.

• Collect and maintain: Relevant Trustees must collect, keep and maintain adequate, accurate and up to date beneficial ownership information for each Applicable Trust.
• Verify: Trustees must take reasonable steps to verify beneficial owner information, including identity, to ensure accuracy.
• Update on change: Where beneficial owner details change, the trustee must update the information within thirty days of becoming aware of the change.
• Retain records: Beneficial ownership information must be retained for at least five years from the date the Applicable Trust terminates.
• Cooperate with authorities: Trustees must cooperate with competent authorities and law enforcement agencies, including disclosing information and producing documents, subject to legal professional privilege protections.
• Reasonable steps standard: Whether a trustee has taken reasonable steps to comply is determined by the Commission for trustees licensed under the Banks and Trust Companies Act, and by the Court for other trustees.
• Offence and penalty: A trustee who, without reasonable excuse, contravenes the collection, verification, updating, retention or cooperation duties, or provides false or misleading information to a competent authority or law enforcement agency, commits an offence punishable by a fine of up to $75,000.

The Act applies to trustees of trusts governed by BVI law generally, with specific reference to those licensed under the Banks and Trust Companies Act, Revised Edition 2020. It has been gazetted but its substantive provisions only take effect on a commencement date still to be appointed by the Minister.

Key obligations

• Relevant Trustees must collect, keep and maintain adequate, accurate and up to date beneficial ownership information for each Applicable Trust
• Relevant Trustees must take reasonable steps to verify beneficial owner information, including identity of the beneficial owner
• Relevant Trustees must update beneficial ownership information within thirty days of becoming aware of any change to a beneficial owner or their interest
• Relevant Trustees must maintain beneficial ownership information for at least five years from the date of the Applicable Trust's termination
• Relevant Trustees must cooperate with competent authorities and law enforcement agencies in their lawful functions, including disclosing information and producing documents (subject to legal professional privilege)
• Trustees must not provide competent authorities or law enforcement agencies with false, inaccurate or misleading information

Applies to

trustees, Relevant Trustees of Applicable Trusts, trustees licensed under the Banks and Trust Companies Act

Deadlines

• within thirty days of becoming aware of the change: Trustee must update beneficial ownership information after a change to a beneficial owner or related information
• at least five years from the date of the Applicable Trust's termination: Minimum retention period for beneficial ownership information
• date to be appointed by the Minister by Notice in the Gazette: Commencement of the Act's provisions

Related documents

• This document amends Trustee Act (Revised Edition 2020)