Notice to Industry - Reminder: SIBL Excluded Persons - AML/CFT Reporting Forms & Re-registration (2019-08-09)

Summary

This is a reminder notice from CIMA to entities registered as "excluded persons" under the Securities Investment Business Law (SIBL EPs) about two related deadlines: filing AML/CFT reporting forms and completing a re-registration process triggered by the Securities Investment Business (Amendment) Law, 2019, which came into effect on 18 June 2019 and brought SIBL EPs under CIMA's supervisory powers for the first time. The notice reiterates obligations first announced in earlier June 2019 notices.

• AML/CFT reporting forms: All SIBL EPs, regardless of whether they intend to continue operating or seek re-registration, must file the AML/CFT Inherent Risk (AIR-157-75) and AML/CFT Risk Controls (ARC-158-75) forms via the REEFS portal by 15 August 2019, as required under regulation 53A of the Anti-Money Laundering (Amendment) Regulations, 2019.
• Re-registration process: SIBL EPs wishing to continue carrying on securities investment business in or from the Cayman Islands must apply to be re-registered as a "Registered Person" by providing requested information by 15 August 2019 and filing the Application to Re-Register (Form RRP-160-75) via REEFS by 15 January 2020.

Re-registration is conditional on meeting several criteria, including having made all required submissions/payments under the prior SIBL regime, having fit and proper shareholders/directors/senior officers, having at least two directors, and having directors registered/licensed under the Directors Registration and Licensing Law.

• Missed AML/CFT or Application deadline: Failure to file the AML/CFT forms by 15 August 2019 or the Application by 15 January 2020 disqualifies a SIBL EP from re-registration under the transitional provisions, after which it would need to meet full new-applicant requirements under sections 5 or 6 of the amendment law, or cease carrying on business.
• Missed information deadline: Failure to provide required information by 15 August 2019 will result in deregistration by the Authority.

Key obligations

• SIBL Excluded Persons must file AML/CFT Reporting Forms AIR-157-75 (Inherent Risk) and ARC-158-75 (Risk Controls) via the REEFS portal by 15 August 2019, regardless of whether they intend to re-register.
• SIBL Excluded Persons wishing to re-register must provide any information requested by the Authority for re-registration purposes by 15 August 2019.
• SIBL Excluded Persons wishing to continue carrying on securities investment business must file the Application to Re-Register (Form RRP-160-75) via the REEFS portal by 15 January 2020.
• Re-registration applicants must have made all submissions and payments previously required under the Securities Investment Business Law (2019 Revision).
• Re-registration applicants must ensure shareholders, directors and senior officers are fit and proper persons, have a minimum of two directors, and have directors currently registered or licensed under the Directors Registration and Licensing Law, 2014 (as amended).
• SIBL Excluded Persons that fail to file the required forms/information by the deadlines must, if they wish to continue business after 15 January 2020, comply with full new-applicant requirements under section 5 or 6 of the SIB Amendment Law and obtain registration or a license before continuing operations.

Applies to

SIBL Excluded Persons (persons registered as excluded persons under the Securities Investment Business Law)

Deadlines

• 15 August 2019: Deadline for SIBL Excluded Persons to file AML/CFT Reporting Forms AIR-157-75 and ARC-158-75 via the REEFS portal.
• 15 August 2019: Deadline for SIBL Excluded Persons seeking re-registration to provide information requested by the Authority; failure results in deregistration.
• 15 January 2020: Deadline for SIBL Excluded Persons to complete re-registration by filing the Application to Re-Register (Form RRP-160-75) via REEFS.