UK Privy Council Rules Insolvency Legislation in Cayman & Bahamas Cases

UK Privy Council Rules Insolvency Legislation in Cayman & Bahamas Cases

The Privy Council in the UK has recently ruled two important cases concerning appeals in insolvency law on the Caribbean jurisdictions. The Weavering Case (the UK's largest hedge fund fraud to date) set the precedent for the decision regarding whether redemption payments made by an insolvent corporation in the Cayman Islands took precedent over other creditors of the firm. While the Bahamian AWH Fund Ltd case concerns extra-territorial jurisdiction of cross-border tax rebates in mutual fund liquidations in the Bahamas.