SOLICITATION OF FUNDS IN ARUBA
There are restrictions
The Aruban State Ordinance on the Supervision of the Credit System (‘Landsverordening toezicht kredietwezen‘, the ‘SOSCS’) prohibits anyone from engaging in the business of a credit institution (‘kredietinstelling’) in Aruba without a license issued by the Central Bank of Aruba.
In Article 48, the SOSCS also prohibits any natural person or legal entity from approaching the public (i.e. any other person than a credit institution) in order to attract funds in the course of his or its occupation or business, which funds in total or for each case of separate attraction, respectively, are below an amount to be decided by Ministerial regulation (currently Afl. 100,000), or in order to grant credits in the course of his or its occupation or business, or to act as an intermediary.
Article 48 does not apply to the country of Aruba, the Central Bank and (licensed) credit institutions. It does apply, however, to government owned companies, irrespective of the percentage of shares held by the government.
Karel Frielink
Curacao-based Attorney (lawyer) / Partner
