Destruction of Goods by ITZ Licensees

Circular No. 7 of 2022

Date: 7th June, 2022

Destruction of Goods by ITZ Licensees

The Financial Services Authority (FSA) would like to draw the attention of its licensees licensed under the International Trade Zone Act, 1995 (ITZ Act) with reference to the International Trade Zone Regulations, 1995 which stipulates all regulations that need to be adhered by all licensees.

The International Trade Zone Regulations, 1995 covers all the necessary obligations that an ITZ licensee needs to comply with, which includes obligations in terms of destruction of goods as per regulation 11, which states -

"11(1) A holder of a licence shall not destroy any goods received, produced or manufactured in a zone except with the written approval of the Authority and in the presence of a proper officer of the Authority.

(2) Approval under subregulation (1) may be granted on application to the Authority in such form as may be approved by the Authority which shall specify the type, quantity and proposed place of destruction of the goods.

(3) Where any goods are destroyed pursuant to this regulation, the proper officer of the Authority present at the destruction shall issue to the holder of the licence a certificate certifying the destruction and the type and quantity of goods destroyed which shall be retained as a record by the holder of the licence."

It has been drawn to our attention that some licensees are not submitting written request for the above subject matter and as for this reason, the FSA would like to reiterate to all licensees of their obligation under this regulation.

Please be advised that the FSA shall continue with its regulatory checks and onsite inspection to ensure that licensees are adhering to the above provision and this circular. Non-compliance may result in enforcement action being taken against licensees.

(Signature)

Damien Theseé (Mr.) Chief Executive Officer Financial Services Authority