Grand Cayman (12 March 2008) - The Cayman Islands Monetary Authority (CIMA) has signed a memorandum of understanding with the UK's Financial Services Authority (FSA) for the exchange of information and investigative assistance.
The memorandum of understanding (MOU), signed 21 February, marks the latest cooperation agreement between CIMA and an overseas regulator, and provides a formal basis for cooperation between the two authorities.
The FSA is the UK's national regulator of financial services and markets.
The agreement, which is similar to 11 others with overseas financial regulators, outlines the types of assistance that can be requested and given by CIMA and the FSA, said CIMA in a press release.
These includes providing or verifying information; obtaining specified information and documents from other parties; discussing issues of mutual interest; questioning or taking testimony of individuals; arranging and/or conducting inspections of financial services providers, and permitting representatives of the requesting authority to participate in enquiries.
The MOU also outlines the procedure for making requests and how these will be assessed to determine if the required assistance can be given.
The agreement has provisions for the treatment of confidential information that each authority may receive. Such non-public information can only be disclosed, according to the MOU, "in accordance with disclosures permitted under its applicable laws, regulations and requirements".
Cindy Scotland, CIMA managing director, said the agreement was a significant development. "The FSA is an important regulator of a major G7 country. We see this MOU as reinforcing our strong international cooperation regime and further demonstrating our commitment in this area," she said.
Earlier this year, CIMA implemented an agreement with the Office of the Insurance Commissioner of Washington State. CIMA also has cross-border agreements with the Jersey Financial Services Commission; the Office of the Superintendent of Financial Institutions in Canada; the Central Bank of Brazil; the Commodity Futures Trading Commission and the Securities and Exchange Commission in the US; the Isle of Man Financial Supervision Commission; the Bermuda Monetary Authority; the Bank of Jamaica; the Superintendency of Banks of the Republic of Panama; and a multilateral MOU with eight Caribbean regulators.