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United Nations & European Sanctions

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 Responsibility of Financial Services Providers

Financial Services Providers are expected, pursuant to the Money Laundering Regulations (2009 Revision) to have systems and controls in place to conduct initial due diligence, for monitoring on an ongoing basis and reporting. In the event of updates to the relevant sanctions lists below, Financial Services Providers may discover that sanctions are applicable to one or more of their clients, existing or new. The Proceeds of Crime Law, the Money Laundering Regulations and the Terrorism Law, 2008 will then require the filing of a Suspicious Activity Report to the Financial Reporting Authority.

 

International Sanctions

 A number of international financial sanctions are applied against countries, regimes or persons designated to be in violation of international laws.  They are imposed with the intent of 1) changing the conduct of listed countries, regimes or persons; 2) imposing punitive measures when international peace and security are threatened and diplomatic efforts have failed; and/or 3) deterring, preventing or suppressing terrorist acts.  Two key international bodies that adopt international sanctions measures are the United Nations (UN) and the European Union (EU).  From time-to-time, the UK Government passes Orders (“Orders”) in Council implementing UN or EU and by extension includes its Overseas Territories.  These Orders have the force of law in the Cayman Islands, as a British Overseas territory, and breaches may constitute an offence for which fines and/or criminal convictions may result. 

Orders in force in the Cayman Islands include the following:

 AL-QA'IDA and TALIBAN 

  LIBYA  

 TUNISIA  

FORMER YUGOSLAVIA / MOSTAR 

 

 
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