|
Measures Available on A Cross Border Basis to Protect Interests and Assets Of Defrauded Investors
I. Objective And Methodology
|
The objectives of the study are twofold: first, to provide a w compendium of information that would be a useful resource for IC members in considering the actions that may be taken by regulator' other authorities, or by investors themselves, to preserve and re funds from abroad. Indeed, the absence of readily accessible information about available mechanisms for freezing and returning assets may discouraged efforts in this regard. Secondly, the Working Party is se to highlight potential pathways for improvement for those jurisdiction where there are few means to preserve and return the assets of defrauded investors. To tackle this mandate, Working Party No. 4 believed it important to obtain information from a wide range of members. Accordingly, not only Working Party members but also other IOSCO delegations2 submitted country reports on these issues, with the goal of developing a road that can be followed when seeking to recover assets in each country. These reports were provided on the basis of guidelines which intended to cover the wide range of measures available, which vary from one legal system to another. Consequently, all measures available, to any authority whatsoever (e.g. regulatory, judicial, administrative...) entered the scope of this study. The Working Party asked the responding delegations to address two topics in their reports: first, the measures available in each of their respective jurisdictions for preserving and returning assets to defrauded investors; and, second the measures available in each jurisdiction for authorities or investors from a foreign jurisdiction to preserve and recover assets. In responding to the first topic, each delegation discussed the available domestic mechanisms including relevant legal and regulatory requirements. The purpose of that section was to see how these issues were approached domestically with the objective of identifying new avenues that potentially could be adopted for use by foreign authorities. In responding to the second topic, the delegations discussed the various routes that are available in their own jurisdictions to foreign authorities or foreign investors. The delegations described inter alia the types of assistance they can provide, and under which conditions foreign authorities or foreign investors could initiate a substantive action in their jurisdiction, have access to the relevant domestic measures and, where possible, have foreign orders (civil, administrative or criminal) enforced in their jurisdiction. The Working Party No. 4 also asked each delegation to describe its own experiences in seeking to have assets located abroad preserved and returned to defrauded investors located in their jurisdictions in an effort to offer practical examples to other authorities.
Footnote:
2. Other IOSCO members from European, South American or Asian countries and members of the Consultative Committee provided voluntary contributions.
|
Contact us *
Risk Library *
Documents by Author *
International Organization of Securities Commissions (IOSCO) *
Measures Available on A Cross Border Basis to Protect Interests and Assets Of Defrauded Investors
