Decision Notice - Maxam Absolute Return Fund Limited (2019-03-12)

Summary

This is a Decision Notice issued by CIMA against Maxam Absolute Return Fund Limited (Reg. #11505), following an earlier Warning Notice dated 31 January 2019. It records that the Fund remained in breach of multiple statutory obligations and confirms that CIMA has cancelled the Fund's mutual fund registration.

• Audited accounts: Failure to prepare and submit audited accounts for the years ended 31 December 2008 to 2017, breaching sections 8(1) and (2) of the Mutual Funds Law (2019 Revision).
• Annual fees: Failure to pay annual fees and penalties for 2016 to 2019, breaching section 9 of the Mutual Funds Law.
• Registered office: Failure to have a registered office, breaching section 50 of the Companies Law (2018 Revision).
• Director registration: The Director, Suzanne S. Hammond, failed to register or seek a licence under the Directors Registration and Licensing Law (2014 Revision).
• Action taken: CIMA cancelled the Fund's mutual fund registration under section 30(3)(a) of the Mutual Funds Law, on the grounds under sections 30(1)(a) and (d) that the Fund was likely unable to meet its obligations and was not managed in a fit and proper manner.

The cancellation decision took effect on 12 March 2019, the date of the notice. This is an enforcement action specific to this Fund and its director rather than a rule of general application, though it illustrates CIMA's approach to enforcing accounts, fee, registered office and director licensing requirements against mutual funds.

Applies to

mutual funds, fund directors

Deadlines

• 12 March 2019: Effective date of CIMA's decision to cancel the Fund's mutual fund registration.