Publication of Enforcement Actions

Tortola, British Virgin islands - 10 December, 2010 - The Birtish Virgin islands financial Services Commission (the "FSC") wishes to inform all licensees, regulated persons and the public of its intention to commence publication of the details of enforcement action taken by the Commission with effect from January, 2011.

The FSC's enforcement powers are the measures by which it takes protective or remedial action to address regulatory non-compliance. Section 37(1) of the Financial Services Commission Act, 2001 (the "FSC Act") outlines the grounds on which the Commission may take enforcement action and section 37(2) of the FSC Act lists the formal powers of enforcement that are available to the Commission.

Section 11 of the financial Services Commission (Amendment) Act, 2009 amended the principal Act by introducing a new section 37(6) which provides that:

Where the Commission takes enforcement action against a licensee or any other person, it may publish the name of the licensee or other person in such manner as the Commission considers fit outlining the enforcement action taken and any sanction that may have been imposed.

The FSC Act and all amendments are available for review on the Commission's website at www.bvifsc.vg

The publication of enforcement action taken by the Commission is listed as a medium priority in the Key Recommendations outlined in the October, 2010 report on the Territory's Financial System Stability Assessment, conducted by the International Monetary Fund (IMF), Financial Sector Assessment Programme. The recommendation highlights the need to enhance the transparency of enforcement action by requiring the publication of enforcement decisions. The report states that, "Additional transparency would engender a greater understanding of FSC policy through the community and apply an additional discipline to the market place. Decisions are appealed to the Financial Services Appeal Board, the members of which are appointed by the Cabinet." The report is available for review in its entirety on the Commission's website.

About the British Virgin Islands Financial Services Commission

The BVI Financial Services Commission is an autonomous regulatory agency responsible for the regulation and supervision of financial services conducted in and from within the Territory. The Registry of Corporate Affairs is a division within the BVI Financial Services Commission that administers the BVI Business Companies Act.

For further information, please contact:

Corporate Communications
BVI Financial Services Commission
Pasea Estate, Tortola, British Virgin Islands
Tel: (284) 494-4190
Fax: (284) 494-5016
Email: [email protected]