Administrative Measures and Penalties


In terms of article 4(1)(c) of the Malta Financial Services Authority Act, one of the MFSA’s functions is to keep the general public informed of important developments in the sector that it regulates, and to provide the public with relevant information and guidance. Article 16(8) of the Malta Financial Services Authority Act also provides that:

Any administrative or disciplinary sanction or measure, of whatever type, including reprimands or warnings, imposed or decided by the Authority under any law for whose administration it is responsible, shall be published in such medium and in such manner and for such duration as may be deemed warranted by the circumstances and the nature and seriousness of the breach or wrongdoing. 

The MFSA is obliged to make public all sanctions and penalties it imposes on its licence-holders so that the general public will be better informed. The current MFSA policy on publication is that after a licence-holder is notified of the MFSA’s decision to impose a penalty or administrative sanction, the MFSA shall publish a notice of the sanction on its website and in such other media deemed appropriate in the circumstances. Where and as applicable, the notice published on the website will indicate clearly whether the penalty or sanction is currently being appealed against. Publication on the MFSA website is based on the following criteria:

  1. A notice to the public in respect of a fine not exceeding € 3,000, a warning, a reprimand or other minor infringement shall remain posted on the website for a minimum period of two (2) years.
  2. A notice to the public in respect of a fine exceeding € 3,000 but not exceeding € 25,000, or of more serious infringements shall remain posted on the website for a period of five (5) years.
  3. A notice to the public in respect of serious infringements, including suspension or restriction of a licence for regulatory purposes (not a voluntary request for suspension or restriction) and fines exceeding € 25,000 shall remain posted on the website for a period of ten (10) years.
  4. A notice to the public in respect of a cancellation of a licence for regulatory purposes (not a voluntary surrender) shall not be removed from the web-site.
  5. A warning of a general nature shall be removed from the web-site only when it is established that there is no further threat to the public. The removal of such warnings is not tied to a pre-determined number of years.   The MFSA seeks to ensure high standards of conduct and management throughout the financial system.

The MFSA believes that the naming of persons, including licence-holders that have been sanctioned for breaching provisions of law, will lead to a greater awareness of the standards which should guide the activities and the conduct of operators in the financial services industry.

Kindly note that these notices are intended as a summary of the Authority’s decisions and, accordingly, are not the actual decisions themselves.

 

  Administrative Measures & Penalties issued prior to 2020

OCTOBER 22, 2020
The Malta Financial Services Authority (“MFSA”) decided to impose an administrative penalty of thirty-two thousand four hundred euros (€32,400) on Mistral Pay Limited and has allowed the Institution to start the process for the voluntary surrender of their licence under the Financial Instituti ...
OCTOBER 14, 2020
The Malta Financial Services Authority (“MFSA”) decided to suspend the authorisation of Nexia BT to act as an approved auditor in terms of the Insurance Business (Approved Auditor) Regulations (Legal Notice 105 of 2000, as amended) (‘the Regulations’). Address: Nexia BT The Penthouse ...
OCTOBER 14, 2020
The Malta Financial Services Authority (“MFSA”) decided to proceed with imposing an administrative penalty of twenty-five thousand euros (€25,000) and directed Mr Clayton Formosa to cease the provision of any services which require prior authorisation or registration from the MFSA, including t ...
OCTOBER 06, 2020
The Malta Financial Services Authority (“MFSA” or “the Authority”) has decided to cancel the Collective Investment Scheme Licence of Public Private Real Estate Fund SICAV plc. Address: Central North Business Centre Level 1, Sqaq Il-Fawwara Sliema SLM 1670 Business Activity: Collec ...
SEPTEMBER 24, 2020
The Malta Financial Services Authority (“MFSA”) decided to impose a number of directives against the Company. Address: BT International Limited The Penthouse, Suite 2, Capital Business Centre, Entrance C Triq Taz-Zwejt San Gwann Malta Business Activity: Authorised to provide fiduci ...
SEPTEMBER 24, 2020
The Malta Financial Services Authority (“MFSA”) decided to impose a number of directives against the Company. Address: BTI Management Limited The Penthouse, Suite 2, Capital Business Centre, Entrance C Triq Taz-Zwejt San Gwann Malta Business Activity: Registered to act as Company S ...
SEPTEMBER 23, 2020
The Malta Financial Services Authority (“MFSA”) decided to proceed with imposing an administrative penalty of one hundred and fifty thousand euros (€150,000) and directed Dennis Muscat to cease the activity of introducing investment services clients to locally licensed investment firms for a p ...
SEPTEMBER 17, 2020
The Malta Financial Services Authority (“MFSA” or “the Authority”) has decided to cancel the Scheme’s Collective Investment Scheme Licence including the licence granted to its four (4) sub-funds, namely Innovative Investment Fund; Perfectum Fund; Exclusive Gold and Precious Metals Fund; an ...
SEPTEMBER 11, 2020
The Malta Financial Services Authority (“MFSA” or “the Authority”) has decided to cancel the Scheme’s collective investment services licence including the licence granted to its six (6) sub-funds, namely Personal Care Fund; Special Situations Fund; Vintage Watches Fund; Primatist Multi Str ...
SEPTEMBER 11, 2020
The Malta Financial Services Authority (“MFSA” or “the Authority”) decided that Mr John Anthony Farrell can no longer be deemed as being fit and proper and to hold any approved positions. BREACHES The Authority has determined that various breaches of Standard Licence Conditions (“SLC ...