Under the current legal framework, anyone who divulges, wilfully obtains, or attempts to obtain confidential information covered by the scope of the law can face a fine of $5,000 (£3,466, €4,393) and imprisonment of two years.
The law will be replaced with the Confidential Information Disclosure Law, which will better clarify the mechanisms through which confidential information may be shared with appropriate authorities.
No details were released about to what extent the new law will differ from the existing framework or how it will impact existing confidentiality arrangements.
Beneficial ownership
The Cayman Islands also confirmed on Wednesday that it will join the UK’s initiative for the development of a global standard for sharing beneficial ownership information.
Despite the Cayman Island’s public support of the initiative, minister of financial services Wayne Panton, in an interview with the Financial Times, criticised the transparency drive as “pointless”.
Ahead of the London anti-corruption summit on Thursday, Panton described the UK’s decision to push public registers as “weak policymaking” as it would not require the information to be verified.
“The small element of abusers of the international financial system […] are the very people who are not going to be honest with voluntary disclosures.”
