Malta’s Financial Intelligence Analysis Unit (FIAU) has issued a notice highlighting the amendments to the country’s Prevention of Money Laundering and Funding of Terrorism Regulations (PMLFTR). Some of these amendments are discussed below.
The FIAU has expanded the list of authorities that can act as supervisory authorities. The list now also include the Malta Business Registry, the Licensing Board established under the Real Estate Agents, Property Brokers and Property Consultants Act and the Trade Licensing Unit. This amendment aims to improve the collaborative efforts between the FIAU and the newly added authorities.
The FIAU has further amended the Company Service Providers Act. Now, both existing and prospective service providers in this area must be authorized by the Malta Financial Services Authority (MFSA). Authorities have also aligned the PMLFTR with the EU’s requirements about exempting subject persons from AML/CFT and record-keeping obligations.
Another amendment clarifies the obligations of subject persons and the FIAU’s authority in cases involving transactions with non-reputable jurisdictions. Other amendments further clarify the authority of the FIAU in relation to levying administrative penalties. The amendments empower the FIAU to levy an administrative fine of up to 5 million euros ($6.07m) for PMLFTR violations. In the cases where the severity of the violations warrants more than 5 million euros in penalty, the FIAU can levy an administrative fine of up to 10% of the subject person’s turnover.