Regulatory and compliance in Cayman Islands
Maples Group fields a team of dedicated regulatory specialists, which advises on a multitude of financial services regulatory frameworks, particularly the conduct and business obligations of regulated entities including banks, investment managers, trust companies and fund administrators. Working closely with the firm’s funds, finance and corporate departments, the group frequently advises on anti-money laundering issues and sanctions compliance, data protection laws and Economic Substance mandates. The team is headed by Christopher Capewell, who also advises a range of offshore vehicles on the Securities Investment Business Law, the Foreign Account Tax Compliance Act, the OECD Country-by-Country Reporting regime and the EU’s Mandatory Disclosure Regime. Promoted to partner in 2019, Tim Dawson is a member of a number of government regulatory working groups. Another name to note is Sarah Farquhar, who was previously a senior executive at HSBC in London and joined the team as an associate in 2019.
The standalone regulatory and risk compliance group at Walkers is singled out for its experience acting as regulatory counsel for a number of the world’s largest investment funds with operations in Cayman. In a recent highlight, the group advised Blackstone Group on the application of the OECD's new Economic Substance laws to certain Blackstone entities, and assisted with the application of the Cayman data protection regime and its applicable requirements. Led globally by Lucy Frew, the team also assists clients with anti-money laundering, counter-terrorist and proliferation financing matters, international sanctions, regulatory capital requirements, investigations and regulatory disputes. A key member of the team is senior counsel Tony De Quintal, who has over nine years experience working for the Financial Services Authority in the UK and the Cayman Islands Monetary Authority (CIMA), and specialises in applications and notifications to the CIMA.
Bank of America
CVC Capital Partners
First Reserve Corporation
GSO Capital Partners
Oak Hill Capital Management
Oaktree Capital Management
Stone Point Capital
The Carlyle Group
- Acting as Cayman regulatory counsel for Carlyle Aviation and its Cayman entities on a range of regulatory matters, including the application of the developing beneficial ownership regime and any applicable reporting requirements.
- Acting as Cayman regulatory counsel for Apollo and its Cayman investment funds and advising on a range of regulatory matters on an ongoing basis including the regulatory aspects of launches and closings.
- Acting as Cayman regulatory counsel for PineBridge and its Cayman investment funds and advising on a range of regulatory matters on an ongoing basis.
The regulatory practice at Mourant is spearheaded by Sara Galletly, who, in close collaboration with the firm’s corporate department, primarily focuses on regulatory developments impacting financial services, insurance and banking clients. In addition to its expertise in contentious regulatory issues including investigations and financial crime proceedings, the team also advises on non-contentious matters including anti-money laundering work, sanctions, beneficial ownership issues, economic substance matters, funds regulations, data protection law and licensing applications. The team was also heavily involved in the classification and registration of fund structures and associated entities following the introduction of legislation which provided a six-month transition period for the registration of vehicles classified as private funds or limited investor funds.
Other key lawyers:
‘Professionalism, competence, practical approach to solving problems. Personable and responsive.’
‘The Regulatory and Compliance practice offered us the opportunity to use their experience and expertise to implement new regulatory requirements in an efficient and cost-effective way.’
‘Sara Galletly has been pragmatic and pro-active in her approach and instantly understood what we needed to achieve and the time-frame.’
‘The team is very knowledgeable and responsive to all of the questions/comments. It is very easy to work/interact with the Mourant team. They have a very strong understanding of the laws/regulations and in areas where the regulation are not clear cut provide a pragmatic approach and interpretation with the follow up with the appropriate regulatory bodies. They have a very strong team that they can rely on to work through any issues.’
‘I work closely with Sara Galletly and she provides constant updates and spends the time to understand the nature of the business and the application of the statutory laws and regulations.’
‘The Mourant team is incredibly helpful and approachable.’
‘Sara Galletly has been a pleasure to work with. She has provided us with very timely advice that was very clear and concise and which allowed me to move forward totally clear on the actions I needed to take.’
‘This team is accessible, practical and pragmatic. They are also prepared for scheduled calls and stay on top of the issues.’
With its ‘regulatory lawyers embedded across various practice areas’, the multi-disciplinary regulatory and compliance team at Ogier is praised as ‘extremely helpful and thoughtful’. Spearheaded by Joanne Huckle, the investment funds regulatory group underpins the firm’s overall regulatory and compliance practice. Recently, Huckle has guided clients through the new private funds law, engaging with legislators and the regulator, as well as industry bodies, through participation in technical committees. Beyond its investment funds specialism, the other core areas of expertise for the firm’s regulatory practitioners include Economic Substance advice, regulatory licence applications to the Cayman Islands Monetary Authority, advice on anti-money laundering and data protection regimes, trusts regulations and beneficial ownership registers. Nick Rogers, James Heinicke, William Jones, Jennifer Fox, managing associate Fraser Allister and senior associate Praajakta Pargaonkar are adept at handling regulatory issues in their respective practice areas. Associate and data protection expert Cornelia Zhu is also a key name to note, and counsel Dave Sherwin joined from Maples Group in 2020 and works closely with the Cayman Islands Government and the Cayman Islands Monetary Authority.
‘The team is well supported by their legal colleagues and is responsive to all matters.’
‘I have found Ogier to be extremely helpful and thoughtful with our concerns. They are always trying their best to understand our interests and preoccupations and make sure they are aligned with Caymanian legislation. They make sure to adequately explain how local legislation works so that they not only provide an excellent service but also make sure we understand all steps they are carrying out.’
Banco C6 S.A.
Voleon Funds LP
- Advised Voleon on the regulatory aspects of its establishment of a new investment fund structure, during the commencement and update of the investment funds regime in Cayman (regarding private equity and open-ended vehicles).
- Advised Banco C6 S.A., a Brazilian digital bank headquartered in Sao Paulo, on its successful application to the Cayman Islands Monetary Authority for a Class B Banking Licence and establishment of its Cayman branch.
At Appleby, the group assists entities regulated by offshore financial services regimes with regulatory approval applications and provides ongoing regulatory advice; the department also has considerable expertise in data protection and information security regulation. Jacob MacAdam regularly acts for clients on the regulatory aspects of some of the largest and most complex M&A deals involving the Cayman Islands. Counsel Peter Colegate is co-head of the firm’s global technology and innovation group, which handles privacy, data protection and strategic corporate, commercial and regulatory work in the technology sector. The firm's regulatory and compliance offering is part of its larger corporate group, which is headed up by Simon Raftopoulos.
‘Strong regulatory knowledge across disciplines; depth of practical experience and know-how.’
‘Peter Colgate; subject matter expert, responsive and detail-oriented.’
‘The team at Appleby is quite strong, particularly in comparison to similar firms. We’ve had positive interactions with commercial, regulatory and litigation lawyers across a range of projects. They are responsive, business focused and practical in their advice. We’ve found the calibre of their work to be on par with firms in leading jurisdictions, not just other Caribbean firms.’
Brookfield Asset Management Inc.
Willis North America Inc. and Aon Plc
Our Music Festival
Zedra Trust Company (Cayman) Ltd
- Advised Brookfield Asset Management Inc. (BAM) on its obligations under the laws of the Cayman Islands in respect of an indirect acquisition by BAM of a controlling stake in a group which owns a significant stake in a specialist life assurance group established to be a leading consolidator for the European insurance market.
- Advised Willis North America Inc. (Willis) and Aon plc on obligations under Cayman Islands law in connection with the merger of Aon with Willis, which is the ultimate beneficial owner of Willis Towers Watson Management (Cayman) Ltd, a regulated insurance broker and insurance manager in the Cayman Islands.
- Acted as Cayman counsel to Our Music Festival, the world’s first blockchain-powered music festival, on the corporate structuring, funding and issuance of the native token.
The ‘extremely knowledgeable and customer-oriented’ group at Carey Olsen advises on a wide range of regulatory and compliance issues in the Cayman Islands. The team's regulatory and compliance expertise primarily lies in advising financial services clients including banks, corporations, investment managers, family offices, fund administrators and trust companies. The department has experience assisting clients with anti-money laundering and sanctions issues, data protection law, M&A due diligence, Economic Substance work, beneficial ownership mandates and licence applications. Jarrod Farley is ‘extremely responsive and efficient’ and is the key lawyer operating in the regulatory space. Managing partner Nick Bullmore also contributes his funds expertise.
‘The team is extremely knowledgeable and customer oriented. All work is done efficiently and professionally. They are able to assist in all matters from regulatory to corporate.’
‘Jarrod Farley is a pleasure to work with; his clients are in good hands. He is extremely responsive and efficient. Have never encountered an issue he could not resolve quickly and professionally.’
Harmonic Fund Services
Tzur Capital Management
- Advising an international airline on the regulatory considerations in respect of the launch of routes to the Cayman Islands.
- Acting for a consortium that is the private sector partner working with the Cayman Islands Government to design, construct and implement a major infrastructure project.
- Advising an Asian oil and gas company on the regulations governing civil aviation in the Cayman Islands in respect of the design and launch of a fractional ownership program for corporate jets.