L.A. Capital Management, Ltd. (2019-05-10)

Summary

This is a public Warning Notice issued by the Cayman Islands Monetary Authority (CIMA) against L.A. Capital Management, Ltd. (Reg. #10504), a mutual fund, and addressed to its director, Mr. Chauncey Lufkin. CIMA states the Fund has been in ongoing breach of the Mutual Funds Law (2019 Revision) and of the Companies Law (2018 Revision).

• Audited accounts: Failing to prepare and submit audited accounts for the years ended December 2013 to December 2017.
• Fees and penalties: Failing to pay annual fees and penalties for 2017 to 2019, and penalties for 2015.
• Registered office: Breaching section 50 of the Companies Law (2018 Revision) by failing to maintain a registered office.

Because CIMA was unable to locate or correspond with the Fund's director despite reasonable efforts, it is publishing this notice to give notice to all interested parties. CIMA states that this lack of communication may be taken into account when assessing the director's fitness and propriety in relation to other regulated funds or licensees or future applications.

The notice sets out CIMA's proposed action: to cancel the Fund's mutual fund registration under section 30(16) of the Mutual Funds Law (2019 Revision), on the basis that representations previously made indicated the Fund was restructuring and would be liquidated and dissolved, which CIMA treats as sufficient evidence the Fund has ceased or is ceasing to carry on business as a mutual fund. The director is given an opportunity to make written representations opposing this proposed action within a specified timeframe before CIMA proceeds.

Key obligations

• The Fund's director must submit any written representations opposing the proposed cancellation of the Fund's mutual fund registration within 30 days of receiving the Warning Notice
• If seeking an extension of time to make representations, the director must submit a request for extension within 10 days of receiving the Notice
• Written representations must be addressed to the Managing Director of the Authority at CIMA's registered address

Applies to

mutual funds, directors of mutual funds

Deadlines

• within 30 days of receiving this Warning Notice: Deadline for the Fund's director to submit written representations to CIMA opposing the proposed cancellation of the Fund's mutual fund registration
• within 10 days of receiving the Notice: Deadline to submit a request for an extension of time to make representations