New regulations made under the Financial Services Act 2008, called the Transfer of Business including Deposit-Taking Regulations 2013 (the "Transfer Regulations"), have been approved by Tynwald and will come into effect on 1 February 2014.
These Transfer Regulations prescribe steps that may be taken when a licenceholder who carries out business in or from the Isle of Man proposes to transfer the whole or part of its business to another person and that business includes deposit-taking. In particular, the Transfer Regulations set out specific requirements where an application is made to the High Court to sanction any such transfer of business.
As well as detailing the information that the Court application ought to contain, the Transfer Regulations stipulate that a notice should be published in an Island newspaper and made public on the transferor's and the transferee's websites, containing information about the proposed transfer, within 7 days of submitting the Court application. Only once the steps prescribed by the Transfer Regulations have been carried out will the Court determine whether or not to sanction the business transfer.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
