The Anti-Money Laundering Regulations, 2017 ("AML Regulations"), which replace the Money Laundering Regulations (2015 Revision) ("MLRs") were gazetted on 20 September 2017 and came into force on 2 October 2017.
The AML Regulations provide a statutory basis for certain requirements previously contained only in the Guidance Notes on the Prevention and Detection of Money Laundering and Terrorist Financing in the Cayman Islands (the "Guidance Notes"). The AML Regulations also reflect more precisely the Financial Action Task Force ("FATF") Recommendations and codify a risk based-approach.
The Cayman Islands anti-money laundering and counter-terrorist financing ("AML/CTF") regime is already recognised as reflecting international standards and the AML Regulations represent enhancements, rather than significant alterations, to the existing AML/CTF regime. Nevertheless, there are certain changes which will need to be implemented.
A fund continues to be able to comply with its obligations by delegation and reliance on others.
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