The Banking Division is responsible for processing applications for bank, and bank and trust company licenses, and for making recommendations to the Governor in Council for the issue (or non issue) of a license. The division is responsible for both off-site and on-site supervision of the banks, and bank and trust companies. Licensees are required to provide the Authority with annual audited accounts and quarterly reporting schedules, these are examined and analyzed by the division in order assess capital adequacy, asset quality, management capability and expertise, earnings and liquidity. On-site supervision focuses on the risk management practices of banks and enables the Authority to monitor and control these risks. The Authority aims to maintain a level of supervision which reflects international supervisory standards. As with banking and trust company applications, the applications by insurance companies, insurance managers, brokers, agents or sub-agents are carefully considered and a recommendation made to the Governor-in-Council. Special attention is paid to the Business Plan, including the level of solvency to be maintained. Subsequent changes to the Business Plan must be agreed with the regulators. Ongoing requirements include the filing of annual audited financial statements along with a certificate of compliance. One very important element in the administration of the insurance industry is the role of the Insurance Managers. The Insurance Law stipulates that every captive must appoint an Insurance Manager resident in the Cayman Islands to be responsible for maintaining proper records of its business. The Insurance Manager is called upon to ensure the captives are complying with the provisions of the Insurance Law to maintain timely communications with the Authority. The Investment Services Supervision is responsible for the supervision and regulation of mutual funds and mutual fund administrators. This division processes applications for mutual fund administrator licenses and puts forward recommendations to the Governor-in-Council. Applications for the licensing or registration of mutual funds, which are subject to the Monetary Authority's approval, are also processed by this division. As with all other sectors, funds and administrators are required to file audited financial statements which are examined and analyzed by the division. The Mutual Funds Law, however, places some of the supervisory obligation in the hands of the private sector, specifically the Mutual Fund Administrators and External Auditors of funds and Administrators who have reporting obligations to the Authority under certain circumstances. The Compliance Division is responsible for the centralization of the enforcement efforts and due diligence of all the divisions of the Authority. The work of the division is primarily in the areas of investigation and analysis. One of the primary aims of the division is to expand the intelligence-gathering capability of the Authority and improve the general supervisory capabilities of the Authority. The Head of Compliance acts as the central reporting officer for the Authority to the Financial Reporting Unit regarding any suspicion of money laundering identified in the course of the Authority's supervisory activities. In addition the division is responsible for the dissemination of documents and information in response to overseas requests.