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 the provision of Corporate Services Provider (“CSP”) activities as defined under the applicable law.

BREACHES

The MFSA determined that Mr Clayton Formosa has acted in breach of Article 10(1) of the Company Service Providers Act (Cap 529 of the Laws of Malta) (“CSP Act”).

REGULATORY ACTION

On 13 October 2020, the MFSA decided to impose an administrative penalty of twenty-five thousand euros (€25,000) in term of Article 16(3) of the MFSA Act in view of the breach of Article 10(1) of the CSP Act in view of his failure to provide requested information to the Authority. Moreover, the Authority has decided to direct Mr Formosa in terms of Article 16(2) of the MFSA Act to cease the provision of any services which require prior authorisation or registration from the MFSA, including the provision of CSP services as defined under the applicable law.

PUBLICATION

This notice is being published as part of the Authority’s standard enforcement policy and in terms of Article 16(8) of the Malta Financial Services Authority Act.

UPDATED ON 30 NOVEMBER 2020

The Authority’s decision was appealed before the Financial Services Tribunal within the period established by law.

UPDATED ON 17 OCTOBER 2025

On 26 June 2024, the Financial Services Tribunal has denied the requests made by the Mr Clayton Formosa and thus decided in the MFSA’s favour.

Following the decision of the Financial Services Tribunal, Mr Formosa instituted an appeal in front of the Court of Appeal (Inferior Jurisdiction). On 26 February 2025, the Court of Appeal (Inferior Jurisdiction) has accepted the appeal lodged by Mr Clayton Formosa.