By Aoife O'Sullivan, Associate, Hunter & Hunter
INTRODUCTION
Having for many years applied modern and effective regulation to aspects of the financial services industry such as mutual funds, banking and insurance, the Cayman Islands have recently completed this framework by updating the law relating to investment business. The Securities Investment Business Law, 2001 (the "Securities Law") provides for the licensing and control of persons engaged in securities investment business and introduces criminal liability for creating a false or misleading market and insider dealing.
The Securities Law was passed on 12 March, 2002 but will not come into force until an order to that effect has been made by the Governor in Council. At the date of writing, an order has been made bringing into force only the provisions regarding persons carrying on securities investment business who do not require a licence ("Excluded Persons"). Such Excluded Persons are however obliged to pay an annual
