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NEWS AND RESOURCES

08 January 2014

SEYCHELLES INTERNATIONAL BUSINESS COMPANIES (AMENDMENT) ACT 2013

OBJECTIVE
The objective to the changes of the International Business Companies (Amendments) Act 2013 (“the Amendments”) is to be compliant with Organisation for Economic Co-operation and Development and Financial Action Task Force standards in relation to bearer shares and also general changes to reporting and record keeping requirements.

RECORD KEEPING
Every IBC, shall keep a copy of its register of members at the registered agent and by 31st day of December of each year furnish to the registered agent a return in the form of a declaration that:-

• ​the company is keeping accounting records in accordance with the IBC Act and such accounting records can be made available through its registered agent; and
• the share register located at the registered office is complete and updated.

A company that contravenes the requirement of record keeping shall be liable to a penalty of US$100 and to an additional penalty of US$25 for each day during which the contravention continues. If a director of a company who knowingly permits the company to contravene this section shall be also liable to a penalty of US$100 and to an additional penalty of US$25 for each day during which the contravention continues.

BEARER SHARES
Whilst it was previously a requirement to mention on the register the name of the bearer, every company which has issued bearer shares prior to the commencement of the Amendments shall recall and cancel such shares within six months from the date of such commencement and the company shall issue registered shares in substitution for the cancelled bearer shares.

EFFECTIVE DATE
The Amendments are effective on 16 December 2013. For a complete copy of the amendments please contact us to obtain a copy.

RECOMMENDATION
It is our standard practice to prepare the activation documents and registers after the company is incorporated. It is now compulsory for all clients to sign and return all activation documents and confirm the contents of the registers via email for our record keeping. Clients shall also notify us if there’s any change to the company and send us the most updated registers of the company.

For clients that has bearer shares, please contact us immediately for provision of alternative procedures in place of your bearer shares.

Please feel free to contact us should you require more information on the above.