Over the past 10 years, the financial world has become many times more transparent. Information disclosure requirements have grown so much that in some cases they began to seem like an attempt to violate the boundaries of private life. Large states and international organizations insist that all possible data be disclosed: on bank accounts, on transfers, on company ownership. However, despite this, there are jurisdictions that guard your privacy. One of the most successful in this matter is Nevis.
Nevis is a tiny island in the Caribbean that is part of the Federation of Saint Kitts and Nevis. At the same time, the island of St. Kitts and the island of Nevis have chosen different paths of development. St. Kitts is more about tourism, and Nevis is more about the corporate sector, and, moreover, as secret as possible.
According to journalists of The Guardian newspaper, Nevis today is one of the last, strongest bastions of confidentiality and secrecy in the offshore world. His specialization is the creation of companies that provide their owners with an undeniable level of protection of personal data.
Federation of St. Kitts and Nevis crossed out of the lists of offshore!
Unfortunately, this attracts not only law-abiding entrepreneurs who protect their assets from greedy creditors, dissatisfied divorced spouses and mercantile children but also scammers and corrupt officials. The latter greatly spoil the reputation of the island, because they cause international anger. According to the data of the Paradise papers leaked to the public access, about 70,000 were registered companies accounted for Nevis. But this gave nothing to the investigators: the level of secrecy is such that there is no data on owners even among company registrars.
This is a problem for law enforcement, but an opportunity for entrepreneurs who want to protect their assets. Fortunately, almost all Nevis legislation works for the benefit of investors.
First, there are practically no ways to influence the power of Nevis from the outside. Even Saint Kitts, a fellow member of the Federation, could not convince his colleague in the union of the changes. Nevis defends its interests aggressively. Moreover, there is something to protect: only the business expenses for the extension of the company accounted for 16% of government revenues in 2015. Active actions are taken only when jurisdictions are in danger of being blacklisted by an international organization (FATF, OECD, EU). Changes are accepted, but the essence remains the same: a high level of secrecy.
Although Nevis officially announced that he was ready to join the automatic exchange of information on bank accounts
Secondly, decisions of foreign courts are null and void on the territory of Nevis. This means that justice can be achieved only in the court of Nevis itself. At the same time, in order to just start clerical work, you need to pay up to $ 100,000, as a guarantor of “serious intentions.” According to local officials, this protects against bogus courts aimed at making profit and distracting attention.
Does Nevis lose its appeal of classic offshore jurisdiction?
In addition to being paid, it is required to provide unequivocal evidence that the assets or actions of the company in Nevis were illegal. And even in the event of a victory in court, the winners cannot claim the assets of the company itself, but only the business income in proportion to the share that belongs to the person against whom the trial was conducted. In other words, if the company has two partners and the court was against one, the winning party will receive payments only from the profit of one partner.
Thirdly, the statute of limitations for crimes is only 1-2 years, so if the assets were transferred to a company or a trust on Nevis and for 2 years there were no claims against them, it would be extremely difficult to get them back in favor of creditors or dissatisfied relatives.
Many even highly paid lawyers to prefer not to get involved with Nevis but to engage in assets that remain outside of island jurisdiction.
The aforementioned newspaper The Guardian published a lot of material in which Nevis was named the most secret offshore, who does not want to change and helps the criminals to flee from justice. Island Prime Minister Mark Brentley (Mark Brantley) expressed regret that the journalist of the distinguished newspaper allows himself to mislead readers and damage the reputation of the financial center.
The Prime Minister recalled that Nevis is recognized as “Largely Compliant” by the Organization for Economic Cooperation and Development, as was FATF. International organizations recognize the actions taken by the authorities of the island as sufficient to meet international standards for storing and exchanging information about beneficiaries. Information is exchanged on bank accounts under FATCA, CRS, etc.
The official noted that the exchange is carried out only within the framework of coordinated cooperation and with the relevant law enforcement agencies or by a court decision. However, the island continues to protect the confidentiality of data, but does not violate international rules and cooperates with other jurisdictions.
Nevis newspaper charges are considered unacceptable and create a false image for a reputable financial center.
Nevis – an international financial center with a high level of confidentiality
Citizenship and second passport of the Federation of Saint Kitts and Nevis
Nevis is an economically and politically stable jurisdiction that protects its interests. Nevis is not afraid to contradict major players, especially Great Britain, which requires that former imperial territories create transparent registries of beneficial owners and be friendly.
On Nevis, as in some other jurisdictions, they answer that before they become transparent, let the Kingdom solve its problems with money laundering, financing of terrorism and other violations committed by foreign persons on its territory.
It is possible to register a company or trust on Nevis remotely, without a personal visit. At the same time, it is possible to hire additional values, which further increases the level of confidentiality.
Most often, one of two forms of company registration is chosen: International Business Company (IBC) and Limited Liability Company (LLC). To register a company in Nevis, you must provide several variants of the name (in case one of them turns out to be occupied); certified passport and proof of residence; information on where to send documents by courier.
For a company in Nevis, you can open a bank account. This will take time, since the reputation of the jurisdiction has recently suffered due to scandals with information leaks, money laundering, etc. As an alternative, payment systems can help, as well as an account at GreenRock Securities.
We do not forget that despite the high level of confidentiality for the owners of the company, the rest of the requirements of the international community remain in force. This means that it is necessary to keep and keep accounting records, to be ready to provide it to the bank. Moreover, there is a great chance that over time classic offshore companies, such as Nevis, will be required to submit annual reports in order to meet the requirements of other states.