Trust Service Providers

The CBA supervises the trust service providers by virtue of the State Ordinance on the Supervision of Trust Service Providers, which is primarily focused on maintaining a high level of integrity of the financial system.

Licensing requirement

It is prohibited to conduct the business of a trust service provider in or from Aruba without a license issued by the CBA. A trust service provider can submit a license application to the CBA. Licensed trust service providers are registered by the CBA in a public register.

Before granting a license, the CBA will assess whether the applicant is able to comply with all licensing requirements, including the fitness and properness of (qualifying) shareholders and key persons (e.g. members of the Management and Supervisory Board), and with all relevant laws and regulations (see below).

Ongoing supervision

Via off-site surveillance and periodic on-site examinations the CBA will conduct ongoing oversight over the trust service providers.

Trust service providers must comply with the requirements of the State Ordinance on the Supervision of Trust Service Providers. Trust service providers must also comply with the State Ordinance on the Prevention and Combating Money Laundering and Terrorist Financing (AML/CFT State Ordinance) and the Handbook for the prevention and detection of money laundering and combating the financing of terrorism for financial and trust services providers (AML/CFT Handbook) issued by the Centrale Bank van Aruba. Furthermore, trust service providers must comply with the financial sanctions regulations. In this respect, trust service providers must take duly notice of the Financial Actions Task Force (FATF) and the Caribbean Financial Action Task Force (CFATF) warning lists, periodically circulated by the CBA.

Note also that the CBA has been granted supervisory powers and, in case of non-compliance, the CBA has a wide range of tools available to enforce compliance.

Supervisory costs

The supervision of trust service providers is partly funded by the sector itself. A fixed amount of supervisory costs is divided among the trust service providers under supervision, on the basis of the size of their client portfolio.