The attached country reports provide a resource for IOSCO members by specifying pathways that can be accessed in actions to preserve and return to investors assets illicitly obtained through securities and futures violations. The reports contain useful information on the various routes available to that end, as well as on the direct and/or indirect role securities and futures authorities may play, as, in a few instances, they can resort to their compulsory powers in their sphere of competence or, in other cases, give valuable advice necessary to the competent authorities to fulfil their mission.
Hence, the reports are informative for foreign authorities to consider when initiating or participating directly or indirectly in actions which are expected to result in protective measures abroad. The alternative means of assisting foreign counterparts described in the reports may provide useful examples of approaches that could be replicated in other jurisdictions, particularly for those jurisdictions where there are insufficient avenues available to a foreign authority.
The Working Party believes that the review of the attached responses should lead to the development of additional avenues and mechanisms designed to facilitate the preservation and return of assets to defrauded investors. Indeed, in those jurisdictions where available routes are few, delegations could then consider whether it is possible to encourage domestic legislative or regulatory changes in that respect.
In addition, the Working Party is of the view that bilateral and multilateral mechanisms are useful reference tools that could serve the various authorities involved in preserving and returning the assets to defrauded investors.
In view of the increasing need for regulatory authorities to reach across each other's borders to facilitate the recovery of the proceeds of illicit securities and futures activities, the Working Party believes that it is important for each individual delegation to study the reports of others as well as their own legal framework to see whether it is possible for improvements to be made.
Moreover, the Working Party intends to keep under continuous review the available routes in jurisdictions regarding the preservation and return of assets to defrauded investors. In this regard, IOSCO members should notify the General Secretariat of significant developments in their jurisdictions in order to be sure that the attached responses remain up to date.
