Sunday, January 02, 2011

BVI FSC Appointed Liquidator to Whitten Trust

In December 2010, the Financial Services Commission issued public statement informing that, upon its application, the Eastern Caribbean Supreme Court, High Court of Justice of the Virgin Islands appointed the official receiver as liquidator for Whitten Trust Company Limited. Whitten Trust was licensed to carry on trust business in February 1999, being the holder of the Class I trust licence and one of companies of Whitten Capital Group.

The BVI FSC took enforcement action against the trust in September, 2008. In January, 2009, the Commission issued public announcement to inform on the appointment of Joint Administrators for Whitten Trust.

The application of the FSC to appoint a liquidator to a trust which is subject to ongoing enforcement action is in the public interest. Whitten Trust had contravened various provisions of financial services legislation, failed to appoint a board of directors of suitable management team, could not satisfy the prescribed capital requirements and achieve the required level of solvency. All this is enough for Commission to decide that the company did not satisfy the criteria of Class I trust licence holder.

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