Proceeds of Crime (Miscellaneous
Amendments) (Jersey) Regulations 2016
Made 15th June 2016
Coming into force in
accordance with Regulation 5
THE STATES, in pursuance of Articles 1(9), 36(2) and 42A of the Proceeds of
Crime (Jersey) Law 1999[1] and Articles 1(2), 11(4) and
44 of the Proceeds of Crime (Supervisory Bodies) (Jersey) Law 2008[2], have made the following
Regulations –
1 Interpretation
In these Regulations –
“1999 Law” means the
Proceeds of Crime (Jersey) Law 1999[3]; and
“2008 Law” means the
Proceeds of Crime (Supervisory Bodies) (Jersey) Law 2008[4].
2 1999
Law amended
(1) In Article 1(1)
of the 1999 Law, at the end for the full stop there shall be substituted a
semi-colon and after the definition “value of property” there shall
be added the following definition –
“ ‘virtual
currency’ has the meaning given in Schedule 2, Part B, paragraph 4(4).”.
(2) In Part B
of Schedule 2 to the 1999 Law –
(a) for
paragraph 4 there shall be substituted the following paragraph –
(1) The business of providing services as a high
value dealer.
(2) A high value dealer is a person who, by way
of business, trades in goods and receives in respect of any transaction
(whether executed in a single operation, or in several operations which appear
to be linked) payment of at least €15,000 in total.
(3) For the purposes of this paragraph, payment refers
to payment in or by means of –
(a) cash, including notes, coins,
travellers’ cheques, and bearer negotiable instruments; and
(b) any virtual currency.
(4) ‘Virtual currency’ means any currency
which (whilst not itself being issued by, or legal tender in, any jurisdiction) –
(a) digitally represents value;
(b) is a unit of account;
(c) functions as a medium of exchange; and
(d) is capable of being digitally exchanged for money
in any form.
(5) For the avoidance of doubt, virtual currency
does not include any instrument which represents or stores (whether digitally
or otherwise) value that can be used only to acquire goods and services in or
on the premises of, or under a commercial agreement with, the issuer of the
instrument.”;
(b) in paragraph 5(1)
for the words “For the purposes of this Law,” there shall be
substituted the words “The business of operating a casino, and for the
purposes of this Law,”;
(c) in paragraph 7(1),
clause (d) shall be deleted;
(d) for
paragraph 7(2) there shall be substituted the following sub-paragraph –
“(2) A reference in this paragraph
to providing services to third parties shall not include –
(a) the
provision of the services of collecting, administering and disbursing service or
maintenance charges (however described) in connection with immovable property
situated in Jersey (including such property when it is occupied under a
contractual lease or licence); nor
(b) the
provision of a service by a company to a connected company.”;
(e) in paragraph 7(3)
for the words “this paragraph” there shall be substituted the words
“this Part of this Schedule”;
(f) after
paragraph 8 there shall be added the following paragraphs –
“9 Virtual currency
exchange
(1) The business of providing, to third parties,
the service of virtual currency exchange, where the business is not otherwise
included in this Schedule.
(2) In this paragraph –
(a) ‘virtual currency exchange’
means the exchange of virtual currency for money in any form, or vice versa;
and
(b) a reference to providing a service to third
parties shall not include a company’s providing that service to a
connected company.
(1) Acting, otherwise than by way of business, as
trustee of an express trust.
(2) In this paragraph, “express trust”
has the same meaning as is given to that expression by Article 1(1) of the
Financial Services (Jersey) Law 1998[5].”.
3 2008
Law amended
(1) In Article 1(1)
of the 2008 Law, for the definition “money laundering” there
shall be substituted the following definition –
“ ‘money
laundering’ means –
(a) conduct which is an offence under any
provision of Articles 30 and 31 of the Proceeds of Crime (Jersey) Law 1999[6] or Articles 15 and 16
of the Terrorism (Jersey) Law 2002[7]; or
(b) conduct outside Jersey which, if occurring
in Jersey, would be an offence specified in sub-paragraph (a).”.
(2) In
the table in the Schedule to the 2008 Law, in the entries in the column
headed “Description of specified Schedule 2 business”
corresponding to item 1 –
(a) in
the first entry the word “(d),” shall be deleted;
(b)] in the
last entry for the word “8” there shall be substituted the words
“8 or 9”.
4 Transitional
provision
(1) This
Regulation applies in respect of any person who, immediately before the day on
which this Regulation comes into effect (the “appointed day”), is
carrying on the business of virtual currency exchange described in paragraph 9
of Part B of Schedule 2 to the 1999 Law, as added to that
Schedule by Regulation 2(2)(f).
(2) Notwithstanding
any provision of the 2008 Law to the contrary, a person in respect of whom
this Regulation applies shall not be taken to have committed any offence under Article 10(4)
of that Law by reason of anything done or not done by the person in the course
of carrying out that business –
(a) on
and from the appointed day until the day 3 months after that day;
(b) on
and from the appointed day until the day on which an application for
registration under the 2008 Law is finally determined (including as a
result of an appeal to the Court under Article 19 of the 2008 Law) or
is withdrawn, provided that the person applies for registration –
(i) to the relevant
supervisory body,
(ii) within the period
of 3 months beginning with the appointed day; or
(c) if
the person notifies the Commission within the period of 3 months beginning
with the appointed day that the person is carrying on a specified Schedule 2
business, on and from the appointed day until the date of that notification.
(3) During
the period for which, in accordance with paragraph (2), a person is to be
taken not to have committed any offence, the provisions of the 2008 Law
shall apply (with the necessary modifications) to and in relation to that
person as they apply to and in relation to a registered or a supervised person.
(4) A
person who has notified the Commission in accordance with paragraph (2)(c)
shall be a deemed registered person under the 2008 Law.
(5) In
this Regulation, “Commission”, “specified Schedule 2
business”, “registered person” and “supervised
person” have the meanings given to those expressions by Article 1(1)
of the 2008 Law.
5 Citation
and commencement
These Regulations may be cited as the Proceeds of Crime
(Miscellaneous Amendments) (Jersey) Regulations 2016 and shall come into
force on such day or days as the States may by Act appoint.
l.-m. hart
Deputy Greffier of the States