BRITISH VIRGIN ISLANDS - Mossack Fonseca & Co.

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36. (1) Where an existing bearer share in a grandfathered bearer share
company is not deposited with a custodian who has agreed to hold the share
on or before the transition date, the company may, notwithstanding sections
59 to 62 or any provision in the memorandum or articles, in any
shareholders’ agreement or in any other agreement, redeem the share.
(2) Subject to subparagraph (3), sections 176(3) and 179 apply to the
redemption of bearer shares under subparagraph (1).
(3) Where a grandfathered bearer share company is unable, on making
reasonable enquiries, to ascertain the identity or address of the holder
of a bearer share
(a) it is not required to give the member notice under section 176(3);
and
(b) the company shall hold the proceeds of redemption on trust for the
owner of the bearer share.
37. Where, after the transition date, a company to which this Part applies has
one or more existing bearer shares that have not been deposited with a
custodian in accordance with this Division, the Commission may apply to the
Court for the appointment of a liquidator of the company under the Insolvency
Act.
PART V
TRANSITIONAL PROVISIONS APPLYING TO IBCS
THAT ARE RE-REGISTERED UNDER PART II OR PART III
38. (1) This Part applies to a company that is re-registered, on application, under
Part II or automatically under Part III.
(2) Application may be made to register a charge created prior to the
commencement date by a company to which this Part applies.
(3) Section 163 applies to an application made under subparagraph (1) as
if the charge was a relevant charge.
(4) Where a charge is registered in accordance with this paragraph
(a) the charge shall be entered in the company’s register of charges
kept under section 162;
AE/ET/Pub./bg/03.2007
Redemption of
existing bearer
shares.
Application for
appointment of
liquidator.
Registration of
charges created
prior to
commencement
date.