Since the proposed introduction of the AIFMD (“Alternative Investment Fund Managers Directive”) by the European Union in late 2010, CIMA (“Cayman Islands Monetary Authority”) has been actively involved in the process leading up to the implementation of this directive, which is due to become fully effective in July of 2013.
Various clients have approached us with questions on the AIFMD (“Alternative Investment Fund Managers Directive) and therefore we want to provide a brief update here as well as some interesting links to EU documentation.
One of our clients approached us with the question if we could assist in assessing whether or not it was possible and/OR beneficial to his investors in his offshore funds to file a claim with the European Court of Justice (“ECJ”) for “discriminatory withholding taxes”. A topic that we felt would benefit more clients and their investors.
VBK+CO will be speaking at annual general meeting of TTN (“Transnational Taxation Network”) on 21 September 2012, to be held in Hotel de la Paix, Geneva, Switzerland.
The VBK+CO presentation will be on the much discussed topic: “Investment funds – Duties of the Board of Directors”. We will focus on organisation of investment funds and recent (legal) cases. Then we will take our experience and in combination with guidance from recent legal cases outline a list of requirements which we think are required in the current investment fund framework.
We will post a summary of the presentation on our VBK Blog after the meeting. If you are interested to receive more information or discuss the topic in more detail, please don’t hesitate to contact your account manager(s). Alternatively you can use our general e-mail address email@example.com or contact us via Twitter or Facebook.
About TTN ( http://www.ttn-taxation.net/ )
The objects of the association are to provide and share information and contacts between members in various international jurisdictions.
Meetings are organized at different international locations, providing opportunities for members to discuss matters of international tax. The meetings are part of the association’s educational support program, which also includes an active internet community and the issuance of newsletters.
A proposal to amend the BVI Business Companies 2004 has been introduced in the BVI’s House of Assembly. The proposal, together with the BVI Business Companies Regulations 2012 has been published in the BVI Gazette. Changes are anticipated to become effective by the end of 2012.
Most of the suggested amendments are minor changes, where the most interesting changes are:
The amendment will make it explicitly clear that the Registrar, when considering whether to allow a company name, is not to be concerned with the legal rights any person or company has to the name or to the use of the names (regardless if this arises out of trade or service mark legislation in the BVI or elsewhere or under common law).
Foreign character names
The regulations contain a detailed provision for the registration of an additional foreign character name for a BVI company. This will require a notarized statement by a “person with the necessary competence” confirming the translation and meaning of the foreign character name when applying for registration.
Reuse company names
The regulations will allow for a company name to be reused once that BVI company has been dissolved (or moved from the BVI to another jurisdiction) after a period of seven years.
The amendment proposes that the liquidation of a solvent BVI company will commence on the registration with the Registry of a notice of appointment by the voluntary liquidator, rather than at the time of resolution to appoint the voluntary liquidator. In addition, the Regulations determine that BVI companies which are regulated entities (excl. funds) will be required to appoint a licensed insolvency practitioner as voluntary liquidator.
The amendment proposes an application to restore a BVI company (e.g. by paying the outstanding license fees, etc.) will need to be made within 7 years of the company being struck off (opposed to current 10 years) before the company will be dissolved.
Listed company and funds regulations
The amendment will enable regulations to be made to exclude or modify the provisions of the Business Company Act in relation to listed BVI companies and BVI companies operating as funds.
These we feel are the most relevant proposals. Should you require more information on the proposals, please do not hesitate to contact your VBK account manager(s) or just post a response to this blog.