I had to laugh at a report in the Jersey Evening Post on 2 July. It was reported (but not on the web) that:
Jersey's trust industry has not been sufficiently recognised for its high standards, according to Julie Coward, who chairs the Jersey Association of Trust Companies (JATCo),
Poor Ms Coward has complained that:
the industry is suffering 'disproportionate' compliance costs but gaining little advantage
the Island's regulator the Jersey Financial Services Commission, has failed to stand up for the industry in the light of demands from the International Monetary Fund, in that trust and company services providers are not recognised as'financial institutions' for compliance purposes in the same way as are banking and investment services.
She apparently added that:
the industry was mindful of the need for regulation to contain risk and protect the Island's reputation. But regulation was a 'dangerous burden,' she said, eroding margins, distracting management and discouraging innovation.
I have a message for Ms Coward. Those of us beyond St Helier harbour wall think that we need protection from you because we think you provide abusive services. Sham trusts, nominee services for companies and a culture of secrecy are just the top of abuses that we count as crimes against other country's tax systems and the world's financial architecture whose credibility is undermined as a result. The least the IMF can do and will do is hold you to account. We're asking it to do rather more. So if you think it's tough now, I'd get out of the kitchen because the temperature will be rising.