Download or read book Review of Financial Regulation in the Caribbean Overseas Territories and Bermuda written by KPMG Staff and published by . This book was released on 2000 with total page 164 pages. Available in PDF, EPUB and Kindle. Book excerpt: This report is part of a review of financial regulation in the British Caribbean Overseas Territories and Bermuda commissioned by the Foreign and Commonwealth Office in 1999. This report deals with Montserrat. Although the island is internally governed, the Crown appointed Governor retains responsibility for offshore finance. Monserrat has one of the smallest financial sectors amongst the overseas territories under review. The island has 15 offshore banks but none of them keeps a physical presence in the jurisdiction. The report's conclusions are that from the amount of legislation relating to financial services passed in the island it is clear the jurisdiction is committed to developing its financial services sector. However the review highlights a number of serious deficiencies in the current regulatory regime, most of which are principally the result of a lack of resources. The report considers that Monserrat is in a situation where it could become a target for criminal activity linked to financial services, and that until the island can take remedial steps then a moratorium on future growth in these services must be considered. This report responds to the Government's White Paper "Partnership for progress and prosperity: Britain and overseas territories" recognised that a significant number of overseas territories have developed successful offshore financial sectors. The White Paper also observed that these developments bring risks of abuse, and that as markets develop so do the opportunities for money laundering, fraud, tax evasion and regulatory abuse. The White Paper stated that it was essential for the future of the financial sectors of these overseas territories financial that their regulatory systems must improve and be responsive to ever tighter international standards.