News

JFSC UBO Guidance note updated (reissued) | 01 January 2021

05/01/2021

The JFSC have updated (reissued) the Beneficial ownership and controller guidance for regulated service providers.  This guidance covers the beneficial ownership and controller information to be provided upon establishment or registration of corporate and legal entities, and upon change of beneficial ownership and controller information.

The JFSC guide reminds the industry, who is a controller?

  1. There are several interpretations. In Jersey, we follow the FATF interpretation outlined in Section 4 of the AML Handbook and the "three-tier test".
  2. A three-tier test is a three-step approach to identifying controllers: is here:
  3. Tier 1 Each individual with a material controlling ownership interest in the company's capital (through direct or indirect holdings of interests or voting rights) or who exerts control of the company through other ownership means.
  4. Tier 2 To the extent that there is doubt about whether the individuals exercising control through ownership are beneficial owners, or where no individual exerts control through ownership, any other individual is exercising control over the company through other means.
  5. Tier 3 Where no individual is otherwise identified under this section, individuals who exercise control of the company through positions held (who have and exercise strategic decision-taking powers or have and exercise executive control through senior management positions). You will only get to tier 3 if there are no individuals at tier 1 or tier 2. If you have identified a controller at tier 1 or tier 2, you do not need to consider tier 3.

JFSC UBO Guidance note - Table of Contents

  • 2 Application of FATF standards to beneficial ownership and control .......6
  • 3 Foundations..........................................................................................14
  • 4 Partnerships .........................................................................................17
  • 5 Trusts ....................................................................................................20

Read here - https://www.jerseyfsc.org/media/4062/gn-beneficial-ownership-and-control-guidance.pdf