Senators passed a bill yesterday allowing the Bermuda Monetary Authority (BMA) to impose $500,000 fines against institutions which flout regulations.

The Proceeds of Crime Regulations (Supervision and Enforcement) Act 2008 requires the BMA to maintain a register of financial institutions, conduct site visits and get search warrants.

While the Bill allows for heavy penalties, they will not be imposed where the institution exercised due diligence and complied with guidelines. An appeals tribunal will also be set up, while matters of law will be heard by the Supreme Court.

The Senate also passed several other financial measures yesterday. The Insurance Accounts Amendment Regulations 2008 introduced new reporting requirements for Class 4, Class 3A and Class 3B insurance companies and Special Purpose Insurers to enhance the financial data submitted to the BMA on an annual basis.

And the Bermuda Monetary Authority Amendment (No. 2)Act 2008 allows the BMA to increase supervisory fees and introduces new fees for certain insurance matters.

Senators also passed two other un-contentious bills – the Optometrists and Opticians Act 2008 will allow greater regulation. Every registered optometrist and optician will have to re-register every three years subject to fulfilling certain requirements and the bill also establishes a complaints committee.

The Upper House also agreed to concessions worth more than $800,000 for the Fairmont Hamilton Princess as the hotel undergoes a $20 million redevelopment.