UPDATE: Dormant accounts to be transferred to government
BVI Banking Association/GIS - Thursday, June 21st, 2012 at 7:39 AM
Wednesday, June 20 – Dormant or inactive accounts will soon be transferred to the Government of the Virgin Islands and monies will be used to increase the reserve fund, in accordance with the Dormant Accounts Act, 2011.
According to the legislation, dormant accounts are bank accounts that have not been used for more than seven years.
Prior to the commencement of the act, inactive accounts were managed by banks. The shift in management from the banks to the Government of the Virgin Islands will begin tomorrow, June 21, when banks will publish lists of all accounts which show no activity, in accordance with the legislation.
The publishing of the dormant accounts lists is in accordance with Part II, of the Dormant Accounts Act Section 6 (2), which states: “an institution shall publish or cause to be published at a conspicuous position in the Gazette and in two newspapers of wide circulation in the Territory, a notice containing a list of dormant accounts….”
All banks are mandated by law to publish a list of all inactive accounts in both the Gazette, the official newspaper of the VI Government, and two selected newspapers.
The public is invited to view copies of those lists which will be made available on June 21. Interested persons should look out for the published lists in the local newspapers, or can contact the Gazette Office at 468-3701 extension 4386 to purchase copies.
In an interview with the Department of Information and Public Relations, Financial Secretary, Mr. Neil Smith explained the purpose of the Dormant Accounts Act, 2011, saying, “The act provides framework for the management of those dormant accounts by the Government of the Virgin Islands. The act itself is guided by international standards where it is customary that governments all around the world manage any unclaimed assets within their respective jurisdictions.”
The financial secretary also explained that the funds will be used to augment Government’s reserve fund, adding, “The monies will enhance liquidity and are available for use in special social projects. This will only happen under special circumstances, where the project seeks to benefit all residents in the Virgin Islands.”
Mr. Smith also said that even after the funds are added to Government’s reserves, that persons will still have the opportunity to claim ownership of dormant accounts, once they show credible proof.
Account holders have a period of sixty (60) days to make a claim to prevent their accounts from being classified as dormant. Unclaimed assets from any dormant accounts will then be transferred to a special fund, held in the Government’s reserve fund, consisting of a reserve account and an investment and disbursement account.
A committee, chaired by the financial secretary, will be established to administer the fund. The accountant general, the director of Internal Audit, a representative of the Financial Services Commission, not below the rank of a director, two persons nominated by financial services institutions and a representative of the Attorney General will also sit on the committee.
The Dormant Accounts Act, 2011 was passed by the House of Assembly on July 14, 2011, assented by His Excellency the Governor Mr. Boyd McCleary, CMG, CVO, on August 22, 2011, and commenced on February 1, 2012.
The enactment of the Dormant Accounts legislation is in line with the mission of the Ministry of Finance, which is to promote financial stability and the sustainable development of the Virgin Islands.
MAY 4, 2012 REPORT: Dormant bank accounts
President of the BVI Bank Association, Ms. Joycelyn Murraine, would like the public to know that all BVI Financial Institutions will have to adhere by the Dormant Account Act 2011. Ms. Murraine summarizes that:
• The Dormant Accounts Act, 2011 was passed by the House of Assembly of the Virgin Islands on the 14th July, 2011, assented by His Excellency the Governor on 22nd August, 2011 and was commenced on 1st February, 2012.
• Under the terms of the Dormant Account Act 2011, all Financial Institutions are required to identify all accounts where there has been no customer transaction for the past 7 years and designate them as Dormant Accounts.
• Institutions are required to make reasonable effort to contact the account holders of accounts designated as Dormant with a view to ascertaining the wishes of the customer and having the account reactivated via a transaction (debit and/or credit) originated by the customer.
• Once a transaction has taken place the account will be removed from the Dormant list and the ‘clock’ for dormancy purposes will be reset to zero.
• Where it transpires that the customer is deceased, the legal/personal representative may reactivate the account in the normal manner.
• Dormant Account Notices will be published by the respective Financial Institutions in two Newspapers during the period June 1st 2012 to June 14th 2012. Notices will remain in force for 60 days after the date the Notices were printed.
• Where there has been no customer transaction on the account for the past 7 years and the account holder does not initiate a transaction by August 13, 2012 the funds in the account will be transferred by September 2, 2012 to the Government of the British Virgin Islands, which will manage the funds on behalf of the Territory.
• Funds that are transferred in this manner remain the property of the account holder and may be reclaimed at any time, from the original account holder Financial Institution.
• Financial Institutions are required to write to all customers identified as holders of Dormant Accounts except where : -
o a) The balance of the account is below USD$100.00
o b) The Financial Institution has been instructed by the customer to hold all correspondence or;
o c) Previous correspondence to the last known address has been returned marked ‘gone away’. BVI Banks have already sent out letters to all account holders whose accounts are designated “Dormant”.
• If you believe you have an account that may be classified as Dormant, please contact your Financial Institution as soon as possible, so as to enable your account to be reactivated and be removed from the Dormant Account list.
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12 Comments
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Government does exactly what they are born and bred to do. Be parasites..lol. People are not waking up to this scheme that has been going on for centuries and even today in Europe and soon America and the rest of the world. Governments only know how to swindle and rob people. They do so by confiscation of wealth(through laws) and then taxes. Another form is by devaluing the money like what America and the rest FIAT money countries are doing(by printing). With the PIIGS in trouble in Europe, the ponzi jig is about to be up. All these nations are insolvent(broke), they have debts they cannot repay. America is broke too $16 Trillion plus. The only thing holding this together is the ability to print money at will. This government is taking this money because they know the depression is about to enter full phase, so they are getting monies however they can. Notice when people get bailed the court case dates are being pushed out or rescheduled? Get prepared people. Take your money out of the banks. If you wont trust the people who you known for years with your money, why do you trust people who you do not know at all? Believe, when this thing goes down, you will not be able to get one dime from the banks. Your money will become worthless so buy the things you will need. There are bank holidays in Spain, Greece and Italy now. When this hits Tola you will not be able to get your money. Look out in the fall when the trumpet blows in late September for the load gone come tumbling down..Got physical gold/silver yet? 3 Gs..GOD, GOLD and a GOODS you will need when SHTF!(stuff hits the fan)
Let the blood of Messiah cleanse our ways and protect us all who believe in him!
Shalom!
It is really the banks that are the parasites. Most Governments are under the strangle hold of the banks (i.e. The US Government and the Federal Reserve)
Have you any idea where this is going people?
Here we go!
why ndp want to take my grandmother’s money?
You rather the bank keep it on their books? You’re a real jackass, you obviously read the heading and went straight to respond. If it’s your grandmother’s money she can claim it, IDIOT!
critic when you think dormant, think your brain then you might get it, or maybe not.
If the account is your grandmother’s account then it’s not dormant a$$hole!
I don’t now the content of the full legislation but I would be curious to know whether these funds are placed in the government’s consolidated fund or if it is placed in a special fund when transferred. In most countries these funds are kept and managed by the Central Bank. In the absence of such however I understand it being forwarded to the government. Keep in mind though that these amounts can be significant and can boost the government’s cash flow. I would hope that these monies are placed in a special fund so that it is available on demand because ultimately the funds remain the sole property of the depositor. The funds can be deposited on an interest bearing account and the government can keep the interest. If government is given access to the funds it should be required that at least a minimum percentage of the funds transferred must be on the account at all times.
Let me guess……The Government not the banks want to proft from proceeds that were deposited on behalf of drug dealears who either got killed or indicted on long sentences right? Government is the biggest crimnals around time for som ANARCHY!
And so wha? You rather the vampire banks profit from it? If anybody should gain it should be the country. They just need to ensure that it’s not abused.
This is CRIMINAL!
Did you read the entire thing? I think this is reasonable.
Read what, that idiot look like he could read to you? Pure fools on these blogs daily, don’t read a thing just run with the headline like a brainless ass.
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