The Legal 500

Legal Developments in British Virgin Islands

• Redemption of Shares in BVI Investment Funds

  This client briefing examines a number of issues which arise on the redemption of shares by an investor in a BVI investment fund which may lead to disputes between the investor, the fund, and other investors.
  - Mourant Ozannes

• New 'Approved Manager' Regulations for Hedge Funds

  By Kerry Anderson
  - O'Neal Webster - Barristers & Solicitors

• Kerry Anderson co-publishes chapter in Asian Investor

  Click here ->   onealwebster.asianinvestor.dec12  to read Kerry Anderson's co-published chapter featured in Asian Investor (December 2012) entitled 'Fast and Simple in the BVI - The British Virgin Islands have responded to regulatory changes by making fund and manager domiciling painless and efficient.
  - O'Neal Webster - Barristers & Solicitors

• BVI Investment Business (Approved Managers) Regulations, 2012

  A much anticipated and welcomed change is being introduced to the regulatory regime that applies to British Virgin Islands (BVI) domiciled fund managers and advisors in the form of the Investment Business (Approved Managers) Regulations, 2012 (the "Regulations").
  - Bedell Cristin

• BVI Professional and Private Funds - Increased penalties and fees under AML legislation

  The British Virgin Islands (“BVI”) has increased significantly amounts assessed as penalties and sanctions under its Anti-Money Laundering (“AML”) statutory regime effective immediately.
  - Bedell Cristin

• Fairfield Sentry suffers setbacks in the BVI

  The attempt by Fairfield Sentry's liquidators to recover monies paid out to investors by way of redemption proceeds has been blocked by both the BVI High Court and now the Eastern Caribbean Court of Appeal, both Courts finding that the liquidators have no ability to do so.
  - Mourant Ozannes

• Status of Redeeming Investors – Spectrum Galaxy Fund Ltd v Xena Investments Ltd

  The Eastern Caribbean Court of Appeal has re-affirmed that a debt arising out of unpaid redemption proceeds does not confer standing on an investor to apply for the winding up of the company.  Read more...
  - Mourant Ozannes

• BVI Law Holds Even Keel Between Rights of Investors and Rights of Mutual Funds

  Fund investors and the fund industry globally should take note of the recent decision of the Eastern Caribbean Supreme Court Appellate Division’s (the “Court of Appeal”) in Madoff related litigation. Essentially, the Court of Appeal found that monies could not be recovered from former investors by the liquidators of Fairfield Sentry Limited (“Fairfield”) a BVI investment fund and investor in Bernard L Madoff Investments Securities limited (“BLMIS”), where those investors had redeemed their shares for significant value before BLMIS collapsed.
  - O'Neal Webster - Barristers & Solicitors

• Improvements to the BVI Business Companies Act 2004

  The BVI Business Companies (Amendment) Act, 2012 (the Amendment Act) and the BVI Business Company Regulations, 2012 (the Regulations) came into force on 15 October 2012. The new legislation is designed to refine and upgrade the BVI Business Companies Act, 2004 (the Act) to ensure the British Virgin Islands (BVI) maintains its position as one of the leading corporate domiciles.
  - Mourant Ozannes

• The BVI Business Companies (Amendment) Act, 2012 and the BVI Business Companies Regulations, 2012

  The BVI Company is the most popular offshore corporate vehicle in use today in large part due to the flexibility afforded by the BVI Business Companies Act, 2004 (the "Act"). Amendments to the Act in the form of the BVI Business Companies (Amendment ) Act, 2012 will come into effect on 15 October 2012 and the BVI Business Companies Regulations, 2012 are also expected to become effective on the same date.
  - Bedell Cristin