Directive - Global Property Growth & Income REITS Fund Inc. (2011-08-15)

Summary

This is an enforcement notice from the BVI Financial Services Commission describing a directive issued under section 40(1)(b) of the Financial Services Commission Act, 2001, against a group of investment funds managed by Castlestone Management Incorporated, including Global Property Growth & Income REITS Fund Inc. The directive imposes reporting, governance, and payment restrictions on the named funds pending further Commission oversight.

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

The directive names eighteen funds under Castlestone Management Incorporated's management, including Aliquot Agriculture Fund Inc., Aliquot Commodity Fund Inc., Global Property Growth & Income REITS Fund Inc., and others, all of which are subject to the same conditions. The matter is recorded under Matter ID INV0811/092.

Key obligations

• Provide the Commission with full details of the Fund's activities on a weekly basis.
• Submit a proposal to the Commission for implementing more robust internal controls.
• Refrain from making any payment of fees and expenses without the Commission's prior written consent, other than fees for fund administration, brokerage, custody, audit and legal services.

Applies to

investment funds, mutual funds under management of Castlestone Management Incorporated

Deadlines

• weekly: Funds must provide full details of their activities to the Commission on a weekly basis.