30 June 2025
On 26 June 2025 Legislative Council enacted the Prevention of Abusive Business Practices Ordinance 2025.
The purpose of the Ordinance is to seek to prevent:
- abusive business practices in St Helena generally; and,
- the abuse of the jurisdiction of St Helena in furtherance of abusive business practices elsewhere.
It is designed to protect the reputation of the jurisdiction of St Helena.
The Ordinance establishes a number of key definitions including:
- Business entity and business entities;
- Professional services; and,
- Abusive Business Practices.
The definition of business entity and business entities is intended to catch all ‘vehicles’ by which business is conducted, ranging through the traditional entities recognised in English and St Helena law – such as individuals, companies, partnerships etc., to more complex arrangements such as trusts, trust corporations and nominee ships, and other entities formed under other jurisdictions.
The definition of professional services is intended to encompass the typical services provided to business entities such as legal advice or accountancy as well as the more specialised services such as those relating to the establishment of trusts etc.
The Ordinance establishes a series of duties designed to prevent abusive business practices (as defined) in St Helena. In addition, and to strengthen the measures, duties to report suspicion or knowledge of abusive business practices are also imposed on businesses providing trust, trusteeship or nominee ship services and on professional services firms which provide services to those businesses.
The Legislative Council has only immediately commenced the Ordinance for businesses that provide trust, trusteeship and nominee ship services and those that provide services to those businesses. The new government will have the power to commence the Ordinance for any other type of business entity in the future.
Minister for Treasury and Economic Development, Mark Brooks, says on the enactment on the Bill:
“The Prevention of Abusive Business Practices Ordinance is intended to send a message to both local businesses and those from overseas that intend to do business with St Helena that our jurisdiction will not tolerate activities that could harm the island or bring it into disrepute.
I hope that in passing the Ordinance, a clear message is received that this government takes seriously our obligations to tackle illicit finance and other abusive practices. I hope that the new government continues to support the legislative reforms necessary to grow our financial and professional services sectors in the future.”
The Prevention of Abusive Business Practices Bill can be found here: https://www.sainthelena.gov.sh/wp-content/uploads/2025/06/Prevention-of-Abusive-Business-Practices-Bill.pdf
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SHG
30 June 2025