Paul and Amanda Jackson had entered into a sale and rent back scheme with a company after getting into mortgage arrears. But they received an eviction notice after the company failed to keep up with its mortgage payments. However, a judge at Birmingham Crown Court ruled that the family could stay in the property for life, with them either taking out a new mortgage and becoming the owners, or through renting the property from the mortgage lender who had repossessed it. This is an important victory for everyone who is tempted by these schemes. (Source: The Press Association)

Down payments on second homes, currently set at no less than 40 percent of the price, cannot be lowered for any excuse, the Shanghai branch of China's banking regulator said. Chinese banks extended a record $1.1 trillion of new loans in the first half, triple the amount offered in the same period a year earlier. Rapid credit growth posed a risk to the nation's lenders and a concentration of credit in some industries and businesses may damage the stability of the financial system. (Source: Bloomberg)

Television show host Jay Leno was prevented from using the domain name thejaylenoshow.com because it had already been registered by Guadalupe Zambrano. But William Towns, the independent WIPO arbitrator, ruled that Zambrano had failed to show that he had a legitimate reason to register the name. Towns was also of the view that Leno, who has been in the television entertainment business for around 30 years, had a common law trademark right to use his own name. (Source: LawAndTax-News.com)

Beijing No 1 Intermediate People's Court sided with Microsoft against Beijing Strongwell Technology & Development Co, a larger custom PC dealer. The court ordered Strongwell to pay Microsoft 461,409 yuan in compensation. Microsoft sued the company after purchasing 12 computers pre-loaded with pirated Microsoft software. Strongwell's response was that the pirated software was installed at the request of individuals hired by Microsoft, and that the company only sells computer accessories. (Source: China Daily)

Vietnam passed amendments to the IP Law, which takes effect next January 1. Organisations and individuals using published works or recordings that are sponsored or accompanied with advertising materials do not have to obtain permissions from copyright holders or related rights holders, but do have to pay royalties in an amount to be agreed upon by the parties. The term of copyright protection will be extended from 50 years to 75 years from the date of first publication. The amendments also make acts of infringement of IP rights subject to administrative remedies. (Source: VietNamNet)

UK has tweaked the rule that Reits must maintain profits to finance charge ratio of 1.25:1. It is proposing that property companies be exempt of a corporation tax on excess costs, if they are in "severe financial difficulties" or there are "circumstances that arose unexpectedly". The property industry argued that the rule was highly restrictive as companies launch rights issues and refinance, exposing them to higher charges from the banks. The largest property companies in the UK are Reits, which allow them to be largely free of corporation tax. (Source: Telegraph.co.uk)

Kuwait expected to issue a decree to set up a fund with the aim of nationalizing the country's charitable work. It will collect funds from various official and public organizations, in addition to those donated by individuals. The fund will also be allowed to invest some capital in ventures. However, it will only be allowed to do so at a local bank under the name of a charity nationalization fund. Its goal is to encourage the nationalization of charitable organizations and allocate resources to beneficiaries. (Source: Kuwait Times)

China Investment Corp, the country's US$200-billion sovereign wealth fund, will acquire new shares to be issued by CITIC Capital Holding Ltd and hold 40 percent in expanded capital. CIC doesn't seek a controlling stake in the company, so CITIC Capital's business strategy, management structure and investment procedures won't be affected. CIC has shown interest in overseas investments after the global economy showed signs of recovery following pro-growth fiscal and monetary policies. (Source: Shanghai Daily)

The government has invested 82 billion yen in a new fund with the aim of boosting the competitiveness of Japanese firms through the sharing of technologies and personnel among businesses and universities. The move is also expected to allow Japanese universities and other research institutions to find appropriate partners among industries and provide businesses with their advanced studies. The fund is raising more capital from the private sector as well. (Source: Nikkei)

A European draft directive for fund managers in the alternatives asset class may lock Australian operators out of European markets. The proposal recommends that any alternative fund managers based outside Europe will require a 'passport' in order to facilitate and trading activities within Europe. The passport will only be granted three years after the directive is adopted. Under the new proposed regulation European investors may also be prohibited from granting mandates to offshore managers. (Source: Investor Daily)

In a case involving a German heiress Radmacher who was married to Nicolas Granatino, the three-judge panel ruled that the agreement in which they agreed that he would get nothing if they divorced, signed in Germany before they married, was valid under English law. The decision could have far-reaching implications for those going through divorce. Radmacher has agreed to pay her ex-husband's debts of 700,000 pounds and provide him with a house and maintenance until the youngest of their two daughters turns 22. (Source: Reuters)

Superior Court Judge Mitchell Beckloff appointed John Branca, Michael Jackson's personal attorney from 1980 to 2006, and John McClain, music executive and friend of Jackson, as special administrators of the estate of Jackson. They believe the value of the estate exceeds $500 million and consists almost entirely of non-liquid assets, including Jackson's interest in the Sony/ATV music-publishing catalog. They have temporary control until Aug. 3. Jackson's will, filed by Branca and McClain, named his mother as the guardian of his children. (Source: Bloomberg)

Bermuda and Luxembourg have moved their way onto the OECD's "white list" of approved financial centres. The deal with Norway takes Luxembourg to the threshold level of 12 tax information exchange treaties insisted upon by the OECD as the minimum needed. Bermuda signed the 12th agreement with the Netherlands, and the OECD swiftly moved the Island onto "white list" of countries considered to have substantially implemented international tax transparency standards. (Source: STEP)

Insurance giant Prudential has lost a test case in the Court of Appeal which could collectively cost 30 of the UK's largest companies £1bn in tax. The companies entered into currency swap schemes in 2001 and 2002 and the terms of the schemes were set in an effort to generate a corporate tax deduction. The High Court had earlier held that as the payments were of capital the contracts were outside the Finance Act 1994 regime and so no relief for the advance payments was appropriate. The Court of Appeal agreed with it. (Source: Accountancy Age)

The European Council plans to strengthen moves against VAT evasion on imports. Under the directive, the importing of goods is exempt from VAT if followed by a supply or transfer of those goods to a taxable person in another member state. Provisions include the VAT identification number of the importer issued in the member state as well as the customer, and evidence that the imported goods are intended to be transported or dispatched across borders. The European Commission has given a high priority to cracking down on VAT fraud, particularly missing trader intra community fraud. (Source: Accountancy Age)

The imminent removal of the annual 3% tax on gross value of French property, which currently applies to investors based in Jersey, Guernsey and the Isle of Man, may threaten any burgeoning stabilisation in the UK property market. Tax changes will reduce demand for UK investment properties. The change will bring companies and trustees, managing investment funds in the three offshore territories, inline with the tax treatment of UK entities for the first time. (Source: IFAonline.co.uk)

The China Banking Regulatory Commission had issued a new circular banning bank from investing wealth management funds in secondary-market securities-backed funds, equities of unlisted companies and shares in listed companies but not allowed to be issued or traded publicly. It said for those high-end experienced investors who demand for products with high risks, commercial banks could satisfy them through private banking services, which would not be affected by the circular. (Source: China Daily)

Taiwan has opened up key parts of its manufacturing and service sectors to mainland investment. Chinese mainland companies will be able to invest in 100 categories of local business, including computer components, cell phones, car making and building of resort hotels and commercial ports. But Taiwan is keeping the semiconductor, flat panel display, solar panel making and communications sectors to itself. Mainland institutional investors will also be allowed to buy Taiwanese shares as long as the accumulated stock does not exceed 10 percent of a listed firm's total share value. (Source: China Daily)

Monaco's luxury stores will have to run checks on the super-rich and casinos will face tougher inspections under new rules to fight money- laundering. Monaco adopted the law as part of a drive to clean up its financial sector in line with international standards. Under the new rules, insurers, accountants, notarial firms, high-end traders and lawyers helping with property or financial transactions will all be asked to carry out checks on their clients. The law also introduces a new EUR30, 000 caps on cash payments. (Source: AFP)

China unveiled a new rule to permit any company registered abroad to open an onshore foreign exchange account at a Chinese or foreign bank in China without regulatory approval. The new rule is meant to boost banks' fee-based revenues and help Chinese firms that have already ventured abroad to manage their foreign exchange assets in the country. But, without SAFE's approval, account holders would not be allowed to withdraw deposits or convert the money into yuan. It takes effect on Aug.1. (Source: Reuters)

Islamic investment banks need to reduce their dependency on real estate for investment activity, according to the Islamic Investment Banking 2009 report. The report said that the Islamic finance industry has declined as a result of the global recession, and that a large contributing factor is the declining value of real estate assets. Given the industry's reliance on real estate, the underlying values of portfolios have declined. Diversification into other asset classes is therefore needed. (Source: Gulf News)

Signalling the effects of the financial crisis, a non-US firm topped the Fortune 500 list of top global companies for the first time in over a decade, with Anglo-Dutch energy giant Royal Dutch Shell coming in first. China saw its fortunes rise across the board with Sinopec, appearing in the top 10 for the first time. Overall, China had an unprecedented total of 37 companies featured on the list, with nine new entries and the others climbing in the rankings. Seven of the top ten were oil firms and only one was an automobile company. The Fortune ranking is based only on revenues. (Source: AsiaOne)

Malaysia has again reduced restrictions on the ownership of listed companies as it tries to boost investment in the economy. Listed companies would no longer have to sell at least 30% of their shares to ethnic Malays. Instead, listed firms will have to sell 25% of shares to the general public, of which half will be reserved for Malays. Strategic industries such as telecoms, water and energy companies will still have to be 30%-owned by members of the ethnic majority. (Source: BBC)

Korea designed a new law to permit industrial conglomerates' entry into the banking sector. The Financial Holding Company Act permits industrial conglomerates to hold up to 9 percent of shares in a bank, from the current 4 percent. At most Korean banks, except those owned by the government, the largest shareholder has an equity stake of less than 10 percent. The law, effective from Oct. 10, also allows non-banking financial holding companies to have both financial and non-financial subsidiaries. (Source: Korea Herald)

Bank of China and Bank of Communications signed agreements with HSBC Holdings in HK to settle cross-border trade in renminbi. The agreements will allow the Hong Kong-based banks to buy or borrow the Chinese currency from mainland banks. Bank of China has signed similar agreements with Bank of China (Hong Kong) and Standard Chartered. Bank of Communications has signed an agreement with Hang Seng Bank. The mainland banks had also signed settlement agreements with a number of banks in Southeast Asia. (Source: China Economic Review)

【Chief Editors: Cynthia & Lillian 】

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