The Malta Financial Services Authority (“MFSA” “Authority”) has decided to proceed with imposing the below regulatory actions against the Institution:
- In terms of Subsidiary Legislation 376.02, Fines and Penalties for Offences Regulations under the Financial Institutions Act (“FIA”), the MFSA has imposed an administrative penalty of €32,400 for breaches identified with regards to Article 5 (1)(c), Article 8B (1) and Article 11A of the FIA.
- In terms of the powers granted to the Authority under Articles 6 (1)(d) and 6 (1)(i) and Article 6 (4) of the FIA, the MFSA has decided to restrict the licence of the Institution and required Phoenix to cease the provision of new services to existing clients.
Phoenix Payments Limited
No3, Level 01, Vision Exchange Buildings
Birkirkara BKR 3000
Business Activity: Financial Institution licensed in terms of the FIA
Phoenix Payments Limited was found to be in breach of the following:
- Article 5 (1)(c) of the Financial Institutions Act;
- Article 8B (1) of the Financial Institutions Act; and
- Article 11A of the Financial Institutions Act.
On 11 March 2021, the Malta Financial Services Authority decided to impose an administrative penalty of thirty-two thousand four hundred Euro (€32,400) on the Institution. Furthermore, the MFSA has decided to restrict the licence of the Institution with regards to the ceasing of provision of new services to existing clients in terms of the powers granted to the Authority under the FIA.
Moreover, in view of the breaches identified by the MFSA, the Authority shall be conducting further assessment on the Institution in order to evaluate whether further action is necessary in its regard.
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 19 April 2021
The Authority’s decision to impose an administrative penalty of thirty-two thousand four hundred Euro (€32,400) on the Institution was appealed before the Financial Services Tribunal within the period established by law.