Proceeds of Crime (Substitution of Schedule 2) (Jersey) Regulations 2008

Made                                                                    12th February 2008

Coming into force                                                 19th February 2008

THE STATES, in pursuance of Article 36(2) of the Proceeds of Crime (Jersey) Law 1999[1], have made the following Regulations –

1        Interpretation

In these Regulations, “the Law” means the Proceeds of Crime (Jersey) Law 1999[2].

2        Substitution of Schedule 2 to the Law

For the Second Schedule to the Law there shall be substituted the following Schedule –

“SCHEDULE 2

(Article 36(1) and (2))

FINANCIAL SERVICES BUSINESS

PART A

BUSINESSES REGULATED BY THE COMMISSION

1.       Any deposit-taking business as defined in Article 1 of the Banking Business (Jersey) Law 1991[3] except the doing of anything described in Article 8(2) (a) to (c) of that Law.

2.       Any long-term business as defined in Article 1(1) of the Insurance Business (Jersey) Law 1996[4] except –

(a)     insurance business described in Article 5(5)(a) of that Law;

(b)     insurance business described in Article 1 of the Insurance Business (General Provisions) (Jersey) Order 1996.

3.       The business of being a functionary as defined in Article 1 of the Collective Investment Funds (Jersey) Law 1988[5].

4.       Financial service business as defined in Article 1(1) of the Financial Services (Jersey) Law 1998[6] –

(a)     including the activities described in Schedule 2 to that Law except those mentioned in –

(i)      paragraphs 1, 4, 10, 14 and 15,

(ii)      paragraph 7 where a person accepts or becomes a party to an instrument as principal,

(iii)     paragraph 8 where the persons described in sub-paragraphs (1), (2) or (3) are connected companies, except in the circumstances described at the end of sub-paragraph (2) or (3),

(iv)     paragraph 16 except where a person is acting as a protector of a trust by way of business;

(b)     excluding general insurance mediation business;

(c)     excluding investment business carried on by an overseas person mentioned in Article 1 of the Financial Services (Investment Business (Overseas Persons – Exemption)) (Jersey) Order 2001[7] where that business is carried on in the circumstances described in that Order;

(d)     excluding trust company business carried on by a person specified in any of the paragraphs in the Schedule to the Financial Services (Trust Company Business (Exemptions)) (Jersey) Order 2000[8] specified below where the business is carried on in the circumstances described in that paragraph –

(i)      paragraph 4 (private trust company business),

(ii)      paragraph 8 (address providers),

(iii)     paragraph 11(connected company),

(iv)     paragraph 12 (introducer),

(v)     paragraph 13 (director),

(vi)     paragraph 15 (director – registered person),

(vii)    paragraph 16 (liquidators and trustees in bankruptcy of persons other than registered persons),

(viii)   paragraph 18 (recruitment agents);

(e)     excluding trust company business carried on by a person specified in any of the paragraphs in the Schedule to the Financial Services (Trust Company Business (Exemptions No. 2) (Jersey) Order 2000[9] specified below where that business is carried on in the circumstances described in that paragraph –

(i)      paragraph 1 (overseas persons),

(ii)      paragraph 2 (unit holding nominee company),

(iii)     paragraph 3 (electronic communications service providers);

(f)      excluding trust company business carried on by a person specified in either of the paragraphs in the Schedule to the Financial Services (Trust Company Business (Exemptions No. 3)) (Jersey) Order 2001[10] specified below where that business is carried on in the circumstances described in that paragraph –

(i)      paragraph 1 (private protector company),

(ii)      paragraph 4 (investment company subsidiary);

(g)     excluding trust company business carried on by a person specified in paragraph 1 (connected persons) of the Schedule to the Financial Services (Trust Company Business (Exemptions No. 4)) (Jersey) Order 2001[11] where that business is carried on in the circumstances mentioned in that paragraph.

PART B

OTHER BUSINESSES

1        Lawyers

(1)     The business of providing services by independent legal professionals.

(2)     In this paragraph ‘independent legal professionals’ means those who by way of business provide legal or notorial services to third parties when participating in financial or immovable property transactions concerning any of the following –

(a)     the buying and selling of immovable property or business entities;

(b)     the managing of client money, securities or other assets;

(c)     the opening or management of bank, savings or securities accounts;

(d)     the organisation of contributions necessary for the creation, operation or management of companies; or

(e)     the creation, operation or management of trusts, companies or similar structures.

(3)     Sub-paragraph (2) does not include legal professionals employed by public authorities or undertakings which do not by way of business provide legal services to third parties.

(4)     For the purposes of this paragraph, a person participates in a transaction by assisting in the planning or execution of the transaction or otherwise acting for or on behalf of a third party in the transaction.

2        Accountants

(1)     The business of providing any of the following –

(a)     external accountancy services;

(b)     advice about the tax affairs of another person;

(c)     audit services; or

(d)     insolvency services.

(2)     ‘External accountancy services’ means accountancy services provided to third parties and excludes services provided by accountants employed by public authorities or by undertakings which do not by way of business provide accountancy services to third parties.

(3)     ‘Audit services’ are audit services provided by way of business pursuant to any function under any enactment.

(4)     ‘Insolvency services’ are services provided by a person if, by way of business, that person accepts appointment as –

(a)     a liquidator under Chapter 4 of Part 21 of the Companies (Jersey) Law 1991[12];

(b)     an insolvency manager appointed under Part 5 of the Limited Liability Partnerships (Jersey) Law 1997[13] as that Law has effect in its application to insolvent limited liability partnerships pursuant to the Limited Liability Partnerships (Insolvent Partnerships) (Jersey) Regulations 1998[14]; or

(c)     as agent of an official functionary appointed in the case of a remise de biens, cession, or désastre.

3        Estate agency services

The business of providing estate agency services for or on behalf of third parties concerning the buying or selling of freehold (including flying freehold) or leasehold property (including commercial and agricultural property) whether the property is situated in Jersey or overseas.

4        Services provided by high value dealers

(1)     ‘High value dealers’ means persons who, by way of business, trade in goods when they receive, in respect of any transaction, a payment or payments in cash of at least 15,000 Euros (or sterling equivalent) in total, whether the transaction is executed in a single operation or in several operations which appear to be linked.

(2)     In this paragraph, ‘cash’ means any of the following in any currency – notes, coins, travellers’ cheques, bearer negotiable instruments.

5        Casinos (including internet casinos)

(1)     The business of operating a casino.

(2)     For the purposes of this Law, a casino is an arrangement whereby people are given an opportunity to participate in one or more casino games.

(3)     ‘Casino game’ means a game of chance –

(a)     that involves playing or staking against a bank (whether described as a ‘bank’ and whether or not controlled or administered by a player); and

(b)     where the chances are not equally favourable to all participants.

(4)     For the avoidance of doubt, the provision of the game commonly known as Crown and Anchor in the circumstances permitted under Regulation 9 of the Gambling (Gaming and Lotteries) (Jersey) Regulations 1965 does not fall within sub-paragraph (1).

6        Unregulated funds business

The business of a scheme or arrangement prescribed under Article 3(7) of the Collective Investment Funds (Jersey) Law 1988 other than a scheme or arrangement which is not a collective investment fund under the Collective Investment Funds (Restriction of Scope) (Jersey) Order 2000.

7        Other services

The business of providing any of the following services to third parties not otherwise included in this Schedule –

(a)     acceptance of deposits and other repayable funds from the public;

(b)     lending, including consumer credit, mortgage credit, factoring (with or without recourse), financing of commercial transactions (including forfeiting);

(c)     financial leasing;

(d)     money transmission services;

(e)     issuing and administering means of payment (such as credit and debit cards, cheques, travellers’ cheques, money orders and bankers’ drafts, and electronic money);

(f)      guarantees and commitments;

(g)     trading for the account of third parties in –

(i)      money market instruments (cheques, bills, certificates of deposit, derivatives etc.),

(ii)      foreign exchange,

(iii)     futures and options (financial and commodity),

(iv)     exchange, interest rate and index instruments,

(v)     transferable securities;

(h)     participation in securities issues and the provision of services related to such issues;

(i)      advice to undertakings on capital structure, industrial strategy and related questions and advice as well as services relating to mergers and the purchase of undertakings;

(j)      money broking;

(k)     portfolio management and advice;

(l)      safekeeping and administration of securities;

(m)    safe custody services;

(n)     otherwise investing, administering or managing funds or money on behalf of third parties.

8        The business of forming and administering legal persons or arrangements

The business of providing services to or in respect of types of legal person or arrangement other than those described in Article 2(5)(a) and (b) of the Financial Services (Jersey) Law 1998, in the course of which services are provided that are similar or equivalent to those described in Article 2(4) of that Law as if Article 2(4) referred to that type of legal person or arrangement.”.

3        Citation and commencement

These Regulations may be cited as the Proceeds of Crime (Substitution of Schedule 2) (Jersey) Regulations 2008 and shall come into force 7 days after they are made.

a.h. harris

Deputy Greffier of the States

 


 



[1]                                    chapter 08.780

[2]                                    chapter 08.780

[3]                                    chapter 13.075

[4]                                    chapter 13.425

[5]                                    chapter 13.100

[6]                                    chapter 13.225

[7]                                    chapter 13.225.25

[8]                                    chapter 13.225.55

[9]                                    chapter 13.225.60

[10]                                   chapter 13.225.65

[11]                                   chapter 13.225.70

[12]                                   chapter 13.125

[13]                                   chapter 13.475

[14]                                   chapter 13.475.10


Page Last Updated: 25 Apr 2016