Archive for March, 2013

Cayman is one of Top Offshore Centres

Friday, March 29th, 2013

The Cayman Islands has showed itself as one of the highest rated offshore jurisdictions in the world that was revealed in the latest biannual Global Financial Centers Index (GFCI).

Among offshore territories, the Cayman Islands is the 41st. Out of offshore jurisdictions, it is preceded only by Jersey placed 28th and Guernsey placed 31st.

The top financial centre of the world is London followed by New York, Hong Kong and Singapore.

Former Cayman Premier McKeeva Bush Charged

Tuesday, March 26th, 2013

The Royal Cayman Islands Police Service has confirmed that the former Premier of the Cayman Islands has been charged with 2 counts of misconduct in a public office. McKeeva Bush is due to face 4 counts of breach of trust by a member of the Legislative Assembly, and 5 counts of theft in court in April 2013.

Bush had been in public office for almost 3 decades before he was arrested on December 11, 2012, on suspicion of theft, in connection with financial irregularities relating to the alleged misuse of a government credit card, and breach of trust, abuse of office, and conflict of interest, in connection with the alleged importation of explosive substances without valid permits on or before February 2012.

In February, the RCIPS said: “The investigation is still very active and police are following several positive lines of enquiry. The re-bailing of the suspects is to allow further investigations to take place in a number of foreign jurisdictions including locations in Europe, the United States and in Asia.”

Cayman signs TIEA with Brazil

Friday, March 22nd, 2013

The Government of the Cayman Islands has made an announcement that a landmark tax information exchange agreement (TIEA) between Cayman and Brazil was signed on March 19, 2013.

According to the Government, the agreement would build upon strong business relationships between the two jurisdictions, and act as a springboard for future collaboration in areas of mutual interest to boost trade and investment between the Cayman Islands and Brazil.

According to the data from the International Monetary Fund (IMF), the Cayman Islands already ranks among the top-5 jurisditions worldwide for portfolio investment assets in and out of Brazil. In 2011, capital flows from global investors channeled through Cayman investment funds into Brazil totaled some USD 17 billion.

This TIEA is Cayman’s 31st agreement that adheres to the Organization for Economic Cooperation and Development’s (OECD) standard on tax transparency and information exchange placing it among the world’s most cooperative nations. Brazil and Cayman have a pre-existing legal framework to boost relations; through a Memorandum of Understanding between the Cayman Islands Monetary Authority (CIMA), and the Brazilian central bank in 2006; and a Memorandum of Understanding signed with Brazil’s securities and exchange commission in 2009.

Cayman Islands to quash Fund Investment Taboo

Friday, March 1st, 2013

The Cayman Islands’ Chamber of Commerce has challenged critics of the tax affairs of the new US Treasury Secretary Jack Lew, following reports that he had held investments in Cayman during his private sector career. The reports said that the investments were held in a Cayman Islands investment fund domiciled in Ugland House.

According to the opposition, the appointment of Lew highlights the duplicity of the Obama Administration’s response to offshore investments following incessant pre-election criticism of the tax affairs of the Republic presidential candidate Mitt Romney.

The Cayman Islands’ Chamber of Commerce commented: “At this juncture, it is perhaps worth asking why people are still surprised that Americans, including both Republicans and Democrats, have money invested in Cayman investment funds, when it is certainly the case that all Americans who have a pension fund will likely have their money indirectly invested in a Cayman private equity or hedge fund.”

It also states that there is nothing wrong with that at all as the Cayman Islands is the domicile of choice as well as a centre of excellence for some of the world’s leading international investment funds.

The Chamber of Commerce said that it is high time that jurisdiction’s important role in the global economy and capital markets is better understood by policy makers.