The Cyprus Securities and Exchange Commission (CySEC) has granted TMF Cyprus the license to continue to provide administrative services.
TMF Cyprus is registered in the Commission registrar of ASPs under license number 102/196.
The law governing this license applies to companies providing relevant fiduciary and other corporate services relating to the administration or management of trusts and companies in Cyprus, including:
- directorship and secretarial services provided by a legal person, including acting as an alternate director or secretary
- services such as holding of shares of legal persons in a nominee or trustee capacity
- provision of a registered office
- services related to the opening and operating bank accounts
- services for the ownership of financial assets on behalf of third parties.
The purpose of the law is to regulate the provision of these services, to establish and impose licensing procedures, offering security to clients and strengthening confidence in the sector. These services may only be offered by regulated license holders. Lawyers and accountants who are regulated by their respective regulatory bodies are exempt from the requirement.
ASP providers should have their head offices in Cyprus and be managed by at least two qualified directors, employ a compliance officer and an adequate number of highly trained administrative staff, and have in place effective policies, processes and procedures to ensure a high quality of service and full compliance to the relevant laws including those addressing anti-money laundering issues.
The Commission may revoke or suspend a license at any time if an administrative service provider does not comply with or violates any provision of the law or if the interests of its clients are threatened because of the manner in which the provider carries out its business.
At any time, CYSEC may request a license holder to provide any information or documentation that is reasonably required for conducting its supervisory role. In the event of non-cooperation on the part of the license holder, it may confiscate for up to 45 days any registers, accounts, books, documentation or electronic devices used for the transmission of data.
Contravention of the law is a criminal offence punishable on conviction by imprisonment of up to five years, a fine of up to €350,000 or both. If the offence was committed by a legal person, then any of its directors, managers or responsible auditors may be liable if it is proved that he or she agreed or assisted in the commission of the offence. CySEC may also impose an administrative fine of up to €500,000 (or up to €1 million for repeat offences), depending on the seriousness of the offence.
Read more about our administrative services in Cyprus.