New company law on PSC registers comes into force 6 April 2016 - How to comply and avoid criminal penalties

New company law on PSC registers comes into force 6 April 2016 - How to comply and avoid criminal penalties

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Author: Sian Sadler

Applies to: UK wide

From 6 April 2016, most UK companies, LLPs (limited liability partnerships) and SEs (Societas Europaea) will be required to keep and maintain a register of the persons with significant control over them.

Even dormant companies and companies limited by guarantee will be caught by the new law, which places certain legal duties on both companies and the persons with significant control over them.

Companies and the persons with significant control over them who fail to comply with their respective duties under the new law face the risk of heavy penalties, ranging from fines (in some cases unlimited) to possible imprisonment. Liability for failure to comply with the new requirements can also extend to a company's directors and secretary.

Even if there is no person with significant control over a company, that company will still need to keep a register and make a statement to that effect.

To help you understand whether your organisation will be affected by the new law, we have created a brief guide that answers some frequently asked questions and offers you a quick at-a-glance overview of the new requirements, including:

  • whether your organisation needs to keep a register of persons with significant control;
  • how to identify a person with significant control; and
  • what to do if your organisation is controlled by a legal entity instead of a person.

Shoosmiths LLP would be happy to advise you on all aspects of compliance with the new requirements.

Disclaimer

This document is for informational purposes only and does not constitute legal advice. It is recommended that specific professional advice is sought before acting on any of the information given.

About the author

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Sian Sadler

Director, Company Secretarial

03700 86 8440

Siân is a director in the corporate team in Milton Keynes, and is head of the national company secretarial team. She provides advice to a wide range of clients, both small and large, and to international clients who have companies in the UK.

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