This consultation marks a continuation of previous engagements, incorporating insights gathered from stakeholders and developments on the international stage. The aim is to ensure that the regulatory framework remains robust and adaptable, particularly in light of evolving standards such as the FATF Recommendations.

Underpinning these efforts is the need to simplify and clarify the obligations of all parties involved, from beneficial owners to corporate service providers. The Regulations, which build on existing legislation, introduce key changes like expanding the scope of the legislation and regulations to include mutual funds and private funds (amongst other Cayman Islands registered entities) as well as pending status, single nationality, and administrative fines, reinforcing the importance of compliance and accuracy in reporting.

Furthermore, the guidance provides practical insights and examples to aid stakeholders in understanding and adhering to their obligations. By offering clarity and guidance, these resources aim to foster a culture of compliance and accountability within the jurisdiction.

Stakeholders are encouraged also to review FATF Recommendations, particularly Recommendation 24. The consultation period ends on 14 May 2024.

The Beneficial Ownership Transparency Act, 2023 can be found here.

FATF Recommendations and Interpretive Notes can be accessed here.

Recommendation 24: Transparency and beneficial ownership of legal persons can be found here.

Our previous blog post on this matter can be found here.