The Regulations amend the DCS Regulations in order to add provisions that make it a criminal offence for a person, in connection with an application to the Jersey Bank Depositors Compensation Board (the Board) in connection with an application for compensation, to knowingly or recklessly provide information that is false or provide a document that contains such information. Such an offence is punishable by imprisonment for a term of two years and imposition of a fine.

The amendments also give the Board greater information gathering powers, such as the power to demand relevant information from various persons, and a new power to demand information from banks, at any time and in a specified format, about their total holdings of eligible deposits (and other information relevant to functions under, or the operation of, the DCS). Jersey Banks will be used to the power of the Commission to demand such information or documents pursuant to Article 26 of the Banking Business (Jersey) Law 1991 (the Banking Law), but this power has been extended to the Board by operation of the Regulations.

In relation to information received, the Board may disclose this to the Viscount, the Comptroller and Auditor General and the administrator of a bank in default, if the information concerns the bank. Jersey banks should note that, pursuant to the Regulations, a person commits an offence, and is liable to imprisonment for a term of six months and to a fine, if the person fails without reasonable excuse to comply with a requirement imposed on the person under this Regulation; or obstructs an officer, or an agent, exercising such information gathering powers. This sanction mirrors that already set out in the Banking Law, for failure to comply with the Commission in exercising its powers to demand and gather information.

The Regulations have clearly considered data protection and provide that any personal data collected must be encrypted (if not already) by the Board as soon as practicable after obtaining the information and must remain encrypted at all times whilst it is held by or on behalf of the Board and whilst not in use for a purpose that requires it to be temporarily decrypted.

The amendments introduced by the Regulations are welcome and will reduce the risk of the DCS being exposed to false claims and misuse by purported eligible depositors. The greater information gathering and sharing powers of the Board are in line with existing powers of the Commission and are consistent with Jersey continually proving itself to be a transparent and trusted jurisdiction.

Type

Insight

Locations

Jersey

Share
Twitter LinkedIn Email Save as PDF
More Publications
30 Jun 2022

Digital Identification in Jersey

There have been considerable changes made to the way we do business in recent times. These changes w...

Contributors: Gemma Whale, Paul Worsnop
17 Jun 2022

Proposals to amend the Powers of Attorney (Jersey) Law 1995

Following the recent update from our Guernsey colleagues on the introduction of lasting or enduring ...

Contributors: Gemma Whale
9 Jun 2022

Trustee Knowledge Series: Masters Paper Two: Family Governance

Appleby Private Client & Trust Partner David Dorgan has authored and distributed a series of Tru...

17 May 2022

Navigating the Jersey M&A landscape (3 of 3)

This is the third of a series of three articles, each dealing with topics to be considered when buyi...

Contributors: Andrew Weaver
5 May 2022

The Economic Crime (Transparency and Enforcement) Act 2022: a Jersey perspective

The new Economic Crime (Transparency and Enforcement) Act received Royal Assent on 15 March 2022 (th...

Contributors: Andrew Weaver, Gemma Whale
21 Apr 2022

Listing Private Equity Acquisition Debt on The International Stock Exchange

This article provides a summary of Appleby listing agent services in the Channel Islands, and also o...

12 Apr 2022

Trustee Knowledge Series: Masters Paper One: PTC Structures

Appleby Private Client & Trust Partner David Dorgan has authored and distributed a series of Tru...

16 Mar 2022

Trustee Knowledge Series: Advanced Paper Eight: Amending Mistakes

It is almost inevitable that during the life of most trusts (which can now last indefinitely in many...

4 Mar 2022

The International Stock Exchange (TISE) has launched its new bespoke auction trading system, NOVA

Appleby is a leading listing agent with TISE, which listed 1,111 securities during 2021 against the ...

23 Feb 2022

Anonymisation of decisions: an invitation to consider this more but the unscrupulous need not apply!

The adage that ‘justice must not only be done, but must also be seen to be done” derives from a ...