Draft Designated Businesses (Registration and Oversight) Bill 2014 (“the Bill”)

The Financial Supervision Commission (“the Commission”) has today issued a second consultation document on the draft Designated Businesses (Registration and Oversight) Bill 2014 (“the Bill”). The Bill, which is due to come into effect in 2015, places responsibility on the Commission for the oversight of the adherence of certain businesses and professions (“Designated Businesses”) to the Island’s anti-money laundering and countering of terrorism financing legislation.

The Bill does not seek to make persons affected by its provisions “regulated” by the Commission - they will retain their current status with the various bodies (if any) responsible for their wider business, competence or other matters, such as the Isle of Man Law Society, the Department of Home Affairs, the Office of Fair Trading etc.

The Bill will require all Designated Businesses defined in Schedule 1 to the Bill to be registered with the Commission. Designated Businesses include -

• advocates, other lawyers and certain legal professionals;
• external accountants;
• persons undertaking lending or financial leasing businesses;
• persons undertaking the business of providing financial guarantees and commitments;
• estate agents;
• auditors;
• persons dealing in goods or services of any description whenever a transaction (or series of transactions) involves accepting a total cash payment of €15,000 or equivalent.

Note: the designated businesses in italics are new to Schedule 1 and non-profit organisations, which were included in the original consultation, have been removed from the Schedule.

The purpose of this second consultation is to obtain views on the 2014 draft Bill and we welcome general comments. The Consultation Document and the draft Bill can be found at –

http://www.iomfsa.im/ConsultationDetail.gov?id=424

The Commission will be hosting a briefing session on 10 March 2014 at the Palace Hotel, Douglas. This presentation will cover the progress being made on the Bill, and how the regime is proposed to operate. Anyone who would like to register for the event, or has any questions regarding the proposed regime, is advised to contact Ashley Whyte on ashley.whyte@fsc.gov.im or 689377.

The closing date for comments on the consultation is 2 April 2014.

Please send your views in writing and preferably by e-mail to: