Section 9Part 1 — Preliminary
Directors may make enquiries
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In any case where it is stated in an application for allotment, or in an instrument of transfer, of shares in a local company or an exempted company carrying on business in the Islands that an applicant, transferor or transferee is a Caymanian, the directors of the company may require that person to furnish such proof of the correctness of such statement as the directors consider necessary; and, in the absence of such proof, the directors may decline to allot any shares or register the transfer.
The directors of a local company or an exempted company carrying on business in the Islands may, at any time, enquire in writing of any person who owns a share in the company —
whether or not that person is Caymanian;
whether or not that person is the beneficial owner of the shares;
whether or not that person is in any way under any obligation to exercise any right attaching to that share at the instance of, or for the benefit of, another person, and, if so, the name of that other person and whether or not that other person is Caymanian; and
whether that person owns that share jointly or severally with another person and, if so, the name of the other person who has such an interest and whether or not that other person is Caymanian,
and, if it is stated in any reply made to an enquiry under this subsection that any person is Caymanian, the directors may further require the person making that statement to furnish such proof of the correctness of that statement as the directors consider necessary.
Any person of whom an enquiry is made, or to whom a requirement is addressed, under this section shall reply in writing, within fourteen days after the receipt of the enquiry or the requirement and shall give the information required; and no person shall be liable for breach of any contract, trust or other obligation which is binding on that person in law for supplying such information.
A person who fails to reply in accordance with subsection (2) or (3) or who makes a reply or furnishes information or purported proof which is false in a material particular commits an offence and is liable on summary conviction to a fine of two hundred dollars and on conviction on indictment to a fine of two thousand dollars.