Захиргааны захиалга

Our guidelines are clear: we will not transfer money.

Why is it not a problem if we, as your nominee, can’t transfer money?

We can, as per your order, sign a subrogation order¹ for the company. In this subrogation order, the nominee (the subrogor) will simply order the company to transfer a defined amount to a third party (the subrogee). The result is: the company shall remit the defined amount of money in lieu of remittance to the nominee.

Note: Subrogation order is usually not needed if the entity is registered in a jurisdiction where there is no audit requirement.

Example

• We act as a nominee shareholder.
• At the end of the year, the shareholder is entitled to US$1000 of dividends.
• You ask us a subrogation order for an amount of US$500, with details of the beneficiary (a different person than the shareholder).
• We prepare the subrogation order (additional fees apply, check our fees).
• The nominee shareholder sends the subrogation order to the company.
• The company, in the name of the shareholder, sends the money to the beneficiary.
• The payment to the beneficiary is deemed to have been sent to the shareholder.

Legal basis

Subrogation rights can arise even where there is no contract between subrogor and subrogee², so it is clearly not necessary for there to be an express or implied term. A subrogation order can be created, even if there is no link between the nominee shareholder and the beneficiary.

Тэмдэглэл

1. Invented by PROMINEE®, in May 2009
2. Esso Petroleum v Hall, Russell & Co Ltd (1989) AC 643