Premier and Minister of Finance, Dr The Honourable D. Orlando Smith (AL), in a statement on May 1, 2018 following the United Kingdom’s (UK) decision to implement a policy stated that it is 'deeply flawed' while emphasising that the Virgin Islands (VI) already provides the necessary information to the authorities. Photo: VINO/File

Honourable Andrew A. Fahie (R1), Opposition Leader and First District Representative, who issued a statement on May 1, 2018, also called for new revenue generators and coming together as a community to tackle the issues that the territory will face as a result of this new policy. Photo: VINO/File

It was during a BBC Radio 4 morning news programme on May 1, 2018, when Labour MP Dame Margaret Hodge made claims that the VI is accepting “dirty money” through the financial services sector and the amended bill will address the issues of transparency within the territory. Photo: BBC

This is according to Premier and Minister of Finance, Dr The Honourable D. Orlando Smith (AL), in a statement on May 1, 2018, following the United Kingdom’s (UK) decision to support a policy that forces the Virgin Islands (VI) to reveal the beneficial owners of offshore companies.

The Sanctions and Anti-Money Laundering Bill was debated in the House of Commons on May 1, 2018, and the United Kingdom Government of Theresa M. May accepted the public ownership registers for UK overseas territories.

“Negative economic consequence”- Premier Smith

Premier Smith believes that this action could have a “negative economic consequence” on the territory, while pointing out that it is “unfortunate” that this development comes in the middle of the recovery of the territory that was severely damaged by the hurricanes of September 2017.

“These are difficult times. But, I firmly believe that working together and with strong and collective commitment, our financial services industry will develop and adapt successfully as it has done in the past,” explained the Premier.

Only two years to comply

The recently amended policy only gives the Virgin Islands approximately two years to comply and the Minister of Finance urged that he will be “taking action” in the coming weeks.

“Our current assessment is that any potential changes are at least two years away but we will not now rest on our laurels. Over the past few years, we have prepared the financial services sector for changes such as this. In the coming weeks, we will be taking action on those plans,” explained Premier Smith.

He continued, My Government will remain focused on maintaining the economic viability of these islands and on rebuilding our community. We recognise the key role of our private sector partners that support the financial services sector and appreciate their continued commitment to this Territory. You can all be assured that my Government will do all in its power to ensure that all residents and citizens play their best and rightful roles in our economic future.”

Sharing the same sentiments was Honourable Andrew A. Fahie, Opposition Leader and First District Representative, who issued a statement on May 1, 2018, called for new revenue generators and coming together as a community to tackle the issues that the territory will face as a result of this new policy.

He said, “The onus is now on us in the BVI to take full assessment of the repercussions and most importantly to determine what opportunities this vote brings. Although challenging times are ahead, once we work together and stay together, keep praying and keep trusting the best days of the BVI are not our yesterdays but rather our tomorrows.”

It was during a BBC Radio 4 morning news programme on May 1, 2018, when Labour MP Dame Margaret Hodge made claims that the VI is accepting “dirty money” through the financial services sector and the amended bill will address the issues of transparency within the territory.