IFC NewsLinks

U.S. GIVES SMBC ORDER TO IMPROVE SAFEGUARDS
U.S. financial regulators ordered Sumitomo Mitsui Banking Corp. and its New York branch on Wednesday to improve the bank's safeguards against money-laundering. The Federal Reserve said it has determined "there are compliance and risk management deficiencies at the New York branch" regarding policies to prevent money-laundering, including its due diligence about customers and internal controls.
http://search.japantimes.co.jp/cgi-bin/nn20070126b3.html

EU NODS DANSKE BANK'S ACQUISITION OF SAMPO BANK
The European Union (EU) approved on Tuesday the proposed acquisition of Sampo Bank plc, a Finnish banking and investment services provider, by the Danish financial services company Danske Bank A/S.
http://news.xinhuanet.com/english/2007-01/31/content_5677580.htm

PROBE LEADS TO FINE FOR BOA
Last summer, Bank of America Corp. faced congressional heat for its handling of offshore accounts at the center of an alleged tax shelter scheme. Now the Charlotte bank is paying a $3 million penalty for violating money-laundering rules in connection to the accounts. The NASD on Monday said it was fining a Bank of America unit for failing to obtain customer information for certain high-risk accounts and for poor communication with its parent over the filing of suspicious activities reports. It is the biggest money-laundering-related fine by a securities regulator.
http://www.bradenton.com/mld/bradenton/business/industries/16577000.htm

INVESTEC WELCOMES SWISS PARLIAMENT'S TRUST DECISION
Investec Trust said last week that the Swiss parliament’s approval of the ratification of the Hague Convention on the Law applicable to Trusts and their Recognition in December last year should be seen as the first step on the road to a more certain trust environment in Switzerland. Modifications to Swiss law to give effect to the Hague Convention concern the Swiss International Private Law rules dealing with the recognition of foreign decisions and the jurisdiction of Swiss Courts in trust related matters, as well as the introduction into the solvency and bankruptcy law of the principle of segregation of trust assets.
http://www.tax-news.com/asp/story/story_open.asp?storyname=26209

DFC HEARING REVEALS...GODFREY’S COMPANY GOT AWAY WITH $9.43 MILLION
The long awaited return of the public hearings into the demise of the Development Finance Corporation (D.F.C.) finally got underway on Thursday with more reports of how the corporation’s senior executives used their subordinates to do their dirty work. After a moment of silence in remembrance of the late David Price, Commission Chairman who passed away last month, it was back to the business of finding out what transpired at the D.F.C. between January 1999 and December of 2004.
http://www.reporter.bz/index.php?option=content&task=view&id=1734&Itemid=2

OECD UPGRADES RUSSIA’S CREDITWORTHINESS RATING
The Organization for Economic Cooperation and Development (OECD) has said on Friday, Jan. 26, that it has upgraded Russia’s creditworthiness rating from the fourth to third group of risk. Russia now joins India, Israel and South Africa in terms of how its credit risks are viewed.
http://www.mosnews.com/money/2007/01/29/oecdupgrade.shtml

FIGHTING FINANCIAL CRIME AND DUE DILIGENCE
Experts from the Cayman Islands as well as other offshore and onshore financial centres will focus on financial crime and due diligence within the financial industry in Miami.
http://www.caymannetnews.com/cgi-script/csArticles/articles/000110/011001.htm

SHELL GAMES
With no federal oversight, the states are helping to shelter crooks, money launderers and, possibly, terrorists. Once ideal vehicles for tax evasion, shell companies--that is, corporations with no operations, no employees and no physical assets--have lately become shelters for far more nefarious criminal activities, says Stuart Nash, an associate deputy attorney general at the Justice Department.
http://www.forbes.com/home/free_forbes/2007/0212/096.html

ONLINE GAMBLING: WTO BACKS ANTIGUA OVER US
The United States government has shown a chink in their armor during their war against online gambling. On Friday they admitted that the WTO had ruled against them in the most recent stage of their long standing dispute with Antigua.
http://www.point-spreads.com/news/industry/online-gambling-wto-backs-antigua-over-us-20070128.html

CYPRUS TO JOIN EUROZONE IN FEBRUARY 2008
At a press conference last week, Cypriot Finance Minister Michalis Sarris said that Cyprus will apply for accession to the Economic Monetary Union (EMU) next month. He pointed out that in May, Cyprus will have completed the two years in the Exchange Rate Mechanism (ERM II) required before a member state can enter the EMU, and said that the government is proceeding with the necessary legislative reforms.
http://www.tax-news.com/asp/story/story_open.asp?storyname=26198

MERRILL LYNCH GETS LICENSE TO JOIN DIFC
Merrill Lynch has been granted a full-service licence by the Dubai Financial Services Authority (DFSA) to open an office in the Dubai International Financial Centre (DIFC). This will enable Merrill Lynch International to expand its current business and help achieve its goal of becoming one of the region’s leading financial service providers in this growing market.
http://business.maktoob.com/bankingnew.asp?id=20070131002807

RULES IN DUBAI FORCING OTHER OFFSHORE JURISDICTIONS TO RETHINK THEIR APPROACHES
The rules for collective investment funds in Dubai is forcing other offshore jurisdictions to rethink their approaches, says Bill Gibbon. The Dubai International Finance Centre (DIFC) was set up in 2004 with the aim of harnessing the enormous regional capital and investment potential in the Gulf. However, the rules for the new regime in Dubai with respect to collective investment funds and financial services present issues for promoters and distributors of funds and for offshore jurisdictions generally.
http://www.thelawyer.com/cgi-bin/item.cgi?id=124036&d=122&h=24&f=46

IFC FINANCES LIBERIA TO ENHANCE TRADE CAPACITY
International Finance Corporation (IFC) has signed a 2 million dollars facility with Liberian Bank for Development and Investment (LBDI) to help it expand its capacity to lend to importers and exporters. According to an IFC statement on Monday, currently import trade to Liberia is conducted on an advance cash payment system since banks in Liberia do not have confirmed letters of credit overseas, due to the perceived risk following the civil conflict.
http://english.people.com.cn/200701/30/eng20070130_345883.html

FIRST PCC SEMINAR
Following its conversion to a Protected Cell Company in November 2006, Atlas Insurance organised a seminar on the subject earlier this month at the Hilton with the title “Malta: An Emerging Protected Cell Domicile”. The seminar presented a highly interesting line-up of speakers and was very well attended by local lawyers and audit firms with an interest in this fledgling sector.
http://www.independent.com.mt/news.asp?newsitemid=45372

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