Independent Financial Services (IFS) Bermuda Limited has had its licence suspended by the Bermuda Monetary Authority (BMA) as the company does not have enough business insurance as required by the Investment Business Act 1998.

A legal notice printed in The Royal Gazette on Thursday said the company's investment business licence had been suspended pending the company's completion of remedial action to the satisfaction of the BMA.

The notice also said that during the period of suspension, the company is prohibited from soliciting and or accepting any new clients, although the company was permitted to conduct business for existing clients but, "only such business as has previously been conducted for each respective client".

Superintendent of Banking, Trust & Investment for the BMA, Munroe Sutherland said yesterday that he could not make any comment beyond the published legal notice concerning the matter. In a statement sent to The Royal Gazette on Friday afternoon, IFS Bermuda Ltd. said: "The licence should be reinstated once the company receives the proper amount of business insurance required by the BMA. IFSBL is confident that the matter will be resolved and that they will be able to accept new clients shortly."

The statement also said the timing of the suspension was unfortunate as IFS Bermuda Ltd. was about to launch a risk management service designed to meet the needs of Bermuda's investing public.

IFS Bermuda Ltd. was incorporated in 1998 and the company applied for a licence in June 2000.

According to the company's website, IFS Bermuda Ltd. offers full-service brokerage facilities to private investors, trusts and institutional clients.

IFS Bermuda Ltd. also said in their statement that clients who have any questions or concerns should contact them at 296-4442.