Privy Council Upholds Court of Appeal Decision on CIMA Powers

Grand Cayman (Tuesday, 7 August 2018) – On 13 July 2018, the Judicial Committee of the Privy Council in London issued a decision on 13 July to refuse Select Vantage Inc.’s application for permission to appeal a decision of the Cayman Islands Court of Appeal. In refusing Select Vantage Inc.’s application, at the very first stage, the Privy Council has effectively and clearly affirmed the Court of Appeal’s earlier ground-breaking decision regarding CIMA’s powers. This decision acknowledges that CIMA has powers to obtain information from a non-licensee Cayman Islands registered company on behalf of another overseas regulator under the Monetary Authority Law 2018.

Select Vantage Inc. is a Cayman Islands registered exempt company operating as a proprietary trading firm, which currently supports its 2000+ global traders that operate in 75 countries, with its own software, technology and offices in 5 countries. Select Vantage Inc. is not a licensee of CIMA and was under the investigation of the Australian Securities and Investments Commission (ASIC) for potential market manipulation in the Australian capital markets.

CIMA’s Managing Director, Mrs. Cindy Scotland said, “This decision by the Privy Council effectively affirms CIMA’s powers to require information and documents in response to a proper request from an overseas regulatory authority whether the company or companies involved are licensed by CIMA or not.”

Select Vantage Inc. is part of a group of companies collectively referred to as the Select Vantage Group.

Additional references:

1. Select Vantage Inc. v Cayman Islands Monetary Authority, Case No: JCPC 2017/0096
2. Cayman Islands Monetary Authority v Select Vantage Inc. CICA (Civil) 22/2017 FSD 90/2017
3. For further information, see CIMA’s earlier Press Release issued on 7 December 2017