International Adviser :: Gib finance companies get £800,000 bill for Marrache administration: "Around 100 financial services companies in Gibraltar will be expected to pay as much as £36,281 each to cover the government’s costs of handling the administration of Marrache & Co, the Gib law firm which collapsed earlier this year amid fraud allegations.
The Gibraltar Financial Services Commission said that it has received Government approval for a so-called 'special levy' of £800,000, to cover the costs involved in the Marrache administration that the company’s assets were insufficient to cover.
The GFSC said it is legally authorised to implement such a levy from “all holders of licences under the Financial Services (Investment and Fiduciary Services) Act 1989” whenever “there are not sufficient funds” in a company under administration to reimburse its administrator for such costs as legal fees, staffing costs and other expenses.
Companies covered by the levy include those involved in non-Mifid investment services, insurance intermediation, insurance management, money services and fiduciary services, the GFSC said.
The exact amount each company is being required to pay is determined by a formula which may be found on the GFSC website. Under this formula, “32 firms will pay [a] flat rate of £1,500 only while 58 firms will need to pay between £2,358 and £14,172 each, and eleven firms [will] need to pay between £15,228 and £36,281 each”, the GFSC said."
