25 Nov 2008

CNMI Department of Commerce is proposing new regulations

11:03 am on 25 November 2008

The CNMI Department of Commerce is proposing new regulations for remittance and foreign exchange companies.

According to a notice posted in the Commonwealth Register, companies that transmit money will be required to deposit a 100,000 US dollar security bond and file electronic copies of their quarterly reports.

Remittance companies would also have to provide more information in the reports, and comply with federal registration and reporting requirements.

The fees for a foreign exchange dealer license would also increase under the proposed regulations.

The Saipan Tribune reports that overseas remittances fell from $102.2 million in 2006 to $93.6 million in 2007.

Commerce Secretary Michael Ada says as remittances drop because not many people are remitting out, the CNMI will see more companies close however the the Department of Commerce does not want to see companies leaving due to liability issues.