The Cayman Islands financial services sector is experiencing significant tension after the Financial Action Task Force’s (FATF) putting the jurisdiction on its greylist, in part for lack of enforcing anti-money laundering (AML) and counter-terrorism financing (CFT) regulations. The Cayman Islands Monetary Authority (CIMA) imposed a fine of more than CI$4.2 million on one of its largest financial services providers for breaches of its AML regulations. Meanwhile, one of its gold star financial services providers has obtained a judicial review of how CIMA interprets and applies certain provisions of the AML regulations after the provider has accused CIMA of changing without prior notice the way it applies certain provisions of the AML regulations.