The Criminal Justice (Proceeds of Crime) (Financial Services Businesses) (Bailiwick of Guernsey) (Amendment) Regulations, 2008 and the associated Handbook

10th September 2008
The main changes to the December 2007 regulations for financial services businesses created by the amendment regulations include:



The introduction of a requirement for regulated financial services businesses to register with the Commission by 7 October where they are carrying out the following financial services business:
  • operating a money service business (including, without limitation, a business providing money or value transmission services, currency exchange (bureau de change) and cheque cashing); or
  • facilitating or transmitting money or value through an informal money or value transfer system or network; or
  • money broking; or
  • money changing.
A foreign exchange deal which does not involve physical exchange of notes or coins is not separate financial services business in respect of which registration with the Commission is required. The regulations will, however, for example, require those banks offering a bureau de change or wire transfer service to register with the Commission if they are offering these services as discrete activities by way of business.
There is no application fee for registration. Registration is only required once – financial services businesses do not have to register on an annual basis. 
From 8 November, the removal of the exemption for firms of lawyers and accountants carrying out financial services business which is incidental to the provision of legal or accountancy advice or services. 
The repeal of the requirement for firms providing services in relation to financial services businesses to meet the regulations.
The inclusion of exemptions modelled on those in the Registration of Non-Regulated Financial Services Businesses Law, 2008, so that firms which are exempt from the requirement to register with the Commission under that Law are also not required to meet the Criminal Justice (Proceeds of Crime) (Financial Services Businesses) (Bailiwick of Guernsey) Regulations, 2007 as amended and the Commission’s Handbook for financial services businesses.
The inclusion of provisions which allow financial services businesses to rely on regulated firms of lawyers and accountants in Guernsey, the UK, Jersey and the Isle of Man to undertake aspects of customer due diligence on their behalf. 
The introduction of limited exemptions for investment and general insurance business undertaken by foreign firms in the Bailiwick. 
The Commission has also amended its Handbook for Financial Services Businesses on Countering Financial Crime and Terrorist Financing. Most of the amendments take account of changes in the amendment regulations (for example, Appendix C has been amended and references to Appendix C financial services businesses have been changed to Appendix C businesses). 
In addition to the amendment regulations and the revised Handbook for financial services businesses, we have placed the following documents on our website: