Directive - Collection of Modern Art Inc. (2011-08-15)

Summary

This is an enforcement directive issued by the BVI Financial Services Commission under section 40(1)(b) of the Financial Services Commission Act, 2001 against a group of investment funds managed by Castlestone Management Incorporated. Collection of Modern Art Inc. is one of eighteen named funds subject to the directive. The directive imposes heightened reporting and financial controls on the affected funds.

• Weekly reporting: The funds must provide the Commission with full details of their activities on a weekly basis.
• Internal controls: The funds must submit a proposal to the Commission for implementing more robust internal controls.
• Payment restrictions: The funds must refrain from making any payment of fees and expenses without the Commission's prior written consent, except for payments relating to fund administration, brokerage, custody, and audit and legal services.

The named funds include Collection of Modern Art Inc. and seventeen related entities under Castlestone Management's management, all classified under the Investment Business industry type. The matter is recorded under Matter ID INV0811/092.

Key obligations

• Provide the Commission with full details of the funds' activities on a weekly basis
• Provide the Commission with a proposal to implement more robust internal controls
• Refrain from making any payment of fees and expenses without the Commission's prior written consent, except for payments relating to fund administration, brokerage, custody, and audit and legal services

Applies to

Investment funds, Funds under management of Castlestone Management Incorporated