The Directive (EU) 2019/2121 of the European Parliament and of the Council of 27 November 2019 amending Directive (EU) 2017/1132 as regards cross-border conversions, mergers, and divisions, referred to as the “Mobility Directive” has been transposed into Maltese law on the 31st of January 2023. The Mobility Directive is aimed at further enhancing the freedom of establishment of companies by creating a harmonized legal framework applicable to all Member States in the sphere of cross-border movement of limited liability companies, particularly cross-border divisions and conversions, which up until the coming into force of the Mobility Directive were largely dependent on fragmented national Member States’ legislation. This legal framework may result in an increased level of cross-border movement of limited liability companies, due to a reduction of costs in performing such mobility operations, especially SMEs, and also in the enhancement and further realization of advantages associated with the EU’s Single Market. Spearheaded by the Ministry for the Economy, European Funds and Lands, three new Regulations under the Companies Act were put forward –  the Companies Act (Cross-border Conversions of Limited Liability Companies) Regulations; the Companies Act (Cross-border Mergers of Limited Liability Companies) Regulations and the Companies Act (Cross-border Divisions of Limited Liability Companies) Regulations. To fully implement the transposition measures required as result of the Mobility Directive, the existing Cross-border Mergers of Limited Liability Companies Regulations (S.L. 386.12) are being repealed in order to be replaced by the new already referred to cross-border Regulations. Through a national legislative initiative, the legal framework of cross-border mobility will, through the foregoing proposed regulations, equally apply to those limited liability companies which are formed in accordance with the law of other recognized jurisdictions outside of the European Union. All in all, this will aid both public and private limited liability companies incorporated in one EU Member State to conduct a cross-border mobility operation to or with any other EU Member State, and through the Maltese national initiative, it will also encourage the freedom of establishment of limited liability companies formed or registered in accordance with the law of other recognized jurisdictions outside of the EU to carry out the same cross-border mobility operations available within the EU’s Single Market. The Mobility Directive has been an awaited legislative instrument in the sphere of company law. Its effects may very well enhance competitiveness, reduce costs and administrative burdens, especially for companies having limited financial resources, thus offering greater productivity advantages as a result of economies of scale, and above all, provide   adequate protection to shareholders, workers, and creditors of the involved companies. This protection arises from the provisions of the Mobility Directive itself. Malta Business Registry’s Chief Executive Officer and Registrar Dr Geraldine Spiteri Lucas remarked that the new legal initiatives in place will encourage businesses to venture in the international markets whilst ensuring that the operation of the company and the employees are safeguarded throughout.  ‘In an ever-changing world, the algorithm of businesses is constantly changing, and the transposition of the Mobility Directive caters to this scenario; that is by ensuring a sense of flexibility when it comes to business operations, something that has long been the essence of Malta’s Companies Act, and on the other hand, it ensures to safeguard employees’ said Dr Spiteri Lucas. Minister for the Economy, EU Funds and Lands Silvio Schembri remarked that 28 cross-border companies have been registered in Malta by end of 2022.  The new regulations will encourage free movement, strengthen Malta’s stance in mitigating money laundering, and most important voice employees’ concerns when the company is considering a cross-border mobility operation whilst safeguarding their interests’ said Minister Schembri.

The Department of Commercial Law within the University of Malta and the Malta Business Registry (MBR) have signed a collaborative agreement that shall provide a holistic framework of cooperation and enhance the exchange of information to their mutual benefit.  The aim of the MoU is to provide a basis for cooperation which includes research material and information related to the study units or dissertations organized or taking place under the supervision of the Department of Commercial Law.  Additionally, this cooperation aims at identifying new opportunities and strengthening skills among students.  “The signing of the present Memorandum of Understanding marks the beginning of a long-term partnership between the MBR and the Department of Commercial Law which will strengthen our cooperative efforts, academic pursuits, and professional achievements,” said Dr Tiziana Filletti Head of the Commercial Law Department within the University of Malta. The Malta Business Registry’s Chief Executive Officer and Registrar Dr Geraldine Spiteri Lucas remarked that in the past few years, the Commercial Law went through a significant overhaul, yet it proved its resilience and ensured its quick adaptation to challenging scenarios.  ‘We believe that the University of Malta plays a significant role to encourage research in this sector. Commercial Law is the essence of the MBR’s work when safeguarding the best interest of the Maltese jurisdiction and this agreement replicates the one signed last year with the Accountancy Department which has proved beneficial in extending the involvement and talents of our students. The Malta Business Registry believes that through the guidance that is committed to providing according to the parameters established through the law, this agreement shall pave the way in ensuring that Malta stays at the forefront in this thriving sector’ said Dr. Spiteri Lucas.  Minister for the Economy, EU Funds and Lands Silvio Schembri said that the FATF experience has brought up significant changes within this sphere; from establishing an accurate and up-to-date Beneficial Ownership Registry to the enhancement of due diligence in relation to compliance. ‘This agreement meets our own aspirations as a government, that is to keep on building bridges between the industry and the educational aspect. It is noticeable the significant interest amongst students who seek to have hands-on experience and to have direct involvement in the progress of our nation. The enhancement of research plays a crucial role in bolstering innovation that ensures Malta’s competitiveness globally’ said Minister Schembri. The University Rector, Prof. Alfred J. Vella said “I believe that this cooperation with the MBR will enable the Department of Commercial Law to facilitate and enhance the performance of its respective functions and ensure the success of our students.” The Department of Commercial Law forms an integral part of the Faculty of Laws at the University of Malta. The Department runs holistic undergraduate and postgraduate study programmes aimed at developing highly talented achievers in the area of commercial law, able to serve the public interest and to lead today’s and tomorrow’s businesses. The MBR personnel will provide guidance to UM students in choosing dissertation research questions, allow visits to the MBR and relevant assistance to the lecturers within the Department of Commercial Law, including for the exchange of information when necessary and other forms of collaboration.  STQARRIJA MT Iżjed kollaborazzjoni bejn l-Università ta’ Malta u l-Malta Business Registry Id-dipartiment tal-liġi kummerċjali fi ħdan l-Università ta’ Malta u r-Reġistru Malti għan-Negozji iffirmaw ftehim ta’ kollaborazzjoni li se jipprovdi qafas ħollistiku ta’ kooperazzjoni filwaqt li jsaħħaħ tqassim ta’ informazzjoni għal benefiċċju taż-żewġ naħat. L-għan tal-ftehim huwa li jipprovdi bażi ta’ kooperazzjoni li tinkludi materjal ta’ riċerka u informazzjoni relatata ma’ suġġetti ta’ studji jew teżijiet li jkunu qed jiġu organizzati jew li jkunu qed isiru taħt is-superviżjoni tad-Dipartiment tal-Liġi. Barra minn dan, din il-kooperazzjoni tara li tidentifika opportunitajiet ġodda u li ssaħħaħ il-ħiliet tal-ħaddiema. ‘L-iffirmar tal-ftehim jimmarka bidu ta’ sħubija fit-tul bejn ir-Reġistru għan-Negozju Malti u d-Dipartiment tal-Liġi Kummerċjali li se twassal biex issaħħaħ l-isforzi ta’ kooperazzjoni, attivitajiet akkademiċi u kisbiet professjonali’ qal Dr Tiziana Filletti, il-Kap għad-Dipartiment tal-Liġi Kummerċjali fi ħdan l-Università ta’ Malta. Il-Kap Eżekuttiv u Reġistratur Dr Geraldine Spiteri Lucas irrimarkat kif fl-aħħar ftit snin, il-liġi kummerċjali għaddiet minn bidliet sinifikanti li madanakollu uriet ir-reżiljenza u l-kapaċità li taddatta f’ċirkostanzi ta’ sfida. ‘Nemmnu li l-Università ta’ Malta għandha rwol sinifikanti sabiex tinkoraġixxi r-riċerka f’dan is-settur. Il-Ligi Kummerċjali hija l-qofol tal-ħidma tar-Reġistru Malti għan-Negozji sabiex tkun ikunu ssalvagwardjati l-interessi tal-ġurisdizzjoni Maltija kif ukoll rajna li dan il-ftehim jirreplika dak li ġie iffirmat is-sena li għaddiet mad-Dipartiment tal-Accountancy li wera kemm kien ta’ benefiċċju li nestendu l-involviment u t-talent tal-istudenti tagħna. Bħala Reġistru Malti għan-Negozji nemmnu li permezz ta’ gwida li kommessi li nagħtu skont li parametri stabbiliti mil-liġi, dan il-ftehim se jwitti triq sabiex nassiguraw li Malta tibqa’ minn ta’ quddiem nett f’dan is-settur’ qalet Dr Spiteri Lucas. Il-Ministru għall-Ekonomija, Fondi Ewropej u Artijiet Silvio Schembri qal li l-esperjenza li ġabet magħha l-FATF rriżultat f’bidliet sinifikanti f’din l-isfera; mill-aspett li twaqqaf ir-Reġistru tas-Sidien Benefiċċjarji billi jkun aċċertat li jkun korrett u kontinwament aġġornat għat-tisħiħ ta’ proċessi ta’ due diligence fejn għandu x’jaqsam compliance. ‘Dan il-ftehim jilħaq l-aspirazzjonijiet tagħna bħala Gvern, jiġifieri dik li nkomplu nibnu pontijiet fejn ir-regolatur u l-edukazzjoni. Huwa notevoli l-interess for l-istudenti li jaraw li jfittxu li jkollhom esperjenza diretta u involviment dirett fil-progress ta’ pajjiżna. It-tisħiħ tar-riċerka għandha rwol kruċjali sabiex timbotta l-innovazzjoni li tassigura l-kompettitività ta’ pajjiżna fuq livell globali’ qal il-Ministru Schembri. Ir-Rettur tal-Università ta’ Malta, Profs. Alfred J. Vella qal ‘Nemmen li din il-kooperazzjoni mar-Reġistru Malti għan-Negozji se tgħin lid-Dipartiment tal-Liġi Kummerċjali sabiex tiffaċilita u ssaħħaħ il-prestazzjoni ta’ funzjonijiet rispettivi filwaqt li tassigura suċċess għall-istudenti tagħna.’ Id-Dipartimemt tal-Liġi Kummerċjali huwa parti integrali tal-Fakultà tal-Liġi fi ħdan l-Università ta’ Malta. Id-Dipartiment imexxi għadd ta’ programmi ta’ studju f’livell ta’ undergraduate u postgraduate immirati lejn l-iżvillupp ta’ talen b’saħħtu fl-industrija tal-liġi kummerċjali li kapaċi jaqdu l-interess pubbliku u jmexxu n-negozji tal-preżent u l-futur. L-entità tar-Reġistru Malti għan-Negozji se tara li tipprovdi gwaida lill-istudenti universitarji partikolarment fejn għandu x’jaqsam riċerki għar-teżijiet, tippermetti żjarat fl-entità stess u tagħti l-assistenza meħtieġa lill-akkademiċi li jgħallmu fi ħdan id-Dipartiment tal-Liġi Kummerċjali inkluż tqassim ta’ informazzjoni fejn neċessarju u forom oħra ta’ kollaborazzjoni.

The Registrar would like to bring to the attention of the general public that the Court of Justice of the European Union in its ruling delivered on 22nd November, 2022 stated that :- Article 1(15)(c) of Directive (EU) 2018/843 of the European Parliament and of the Council of 30 May 2018 amending Directive (EU) 2015/849 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, and amending Directives 2009/138/EC and 2013/36/EU, is invalid in so far as it amended point (c) of the first subparagraph of Article 30(5) of Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and repealing Directive 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC, in such a way that point (c) of the first subparagraph of Article 30(5), as thus amended, provides that Member States must ensure that information on the beneficial ownership of companies and of other legal entities incorporated within their territory is accessible in all cases to any member of the general public. As the judgement has the effect of invalidating the relevant part of the mentioned Directive, the Malta Business Registry is limiting access to the register of beneficial owners to competent authorities and subject persons only. Subject Persons need to register with the MBR’s portal in order to gain access to the register of beneficial owners. For the other subject persons that are already registered users, kindly Apply for Beneficial Owner Access under the Profile tab and accept the terms of use. The request would then be processed by the MBR. For any queries or further clarification on this matter, kindly contact info.mbr@mbr.mt .

Valetta, 26 October 2022 – The EU Global Facility on Anti-Money Laundering and Countering the Financing of Terrorism (EU GF-AML/CFT) on Wednesday launched the second meeting of its Expert Working Group on the topic of “Beneficial Ownership Registers as Competent Authorities”, in cooperation with the Malta Business Registry (MBR). Gathering 19 experts from 12 EU Member States, the session follows a kick off event that took place in Brussels in June 2022, where discussions revolved around the topics of Beneficial Ownership (BO)Registers evolving into competent authorities, which included discussion on verification of BO information, onsite supervision, typologies and trends analysis. Malta was represented by Dr Geraldine Spiteri Lucas from the MBR and Mr Alfred Zammit from the FIAU. “ Our ultimate goal is to ‘handbook’ tangible proposals and best practices that can be made available to stakeholders and jurisdictions who are seeking to build or enhance national beneficial ownership capabilities ,” explained EU Global Facility Key Expert on Beneficial Ownership Alexandre Taymans, noting that “ the purpose of these sessions is to delve deeper into the topic, discuss challenges and lessons learnt so we can put forward an approach for more effective national and cross border beneficial ownership disclosure frameworks.” For her part Dr Geraldine Spiteri Lucas, MBR Chief Executive Officer, explained Malta’s experience in arriving where it is today, which is having an accurate and an up-to-date Beneficial Ownership Register. ‘ The effectiveness of the BO Register revolved around accuracy and accessibility by competent authorities and subject persons. Most importantly, it is crucial to have all the entities work together hand in hand. It is indeed of great pleasure for Malta to have welcomed representatives from registries across Europe discussing a subject that is dominating amongst registers fora ’ said Dr. Spiteri Lucas. Alfred Zammit, Deputy Director at the Financial Intelligence Unit of Malta, explained that Beneficial ownership registries are becoming an increasingly important component in the fight against ML/FT, but transitioning from a registry to a competent authority is easier said than done. Sharing best practice and exploring different forms of cooperation, including with FIUs and other authorities, is therefore very-much needed and a step that we and the community all stand to gain from. Support to partner countries’ Beneficial Ownership frameworks is a key pillar of the EU Global Facility on AML/CFT’s work around the globe. So far, the project has assisted more than 11jurisdictions in Africa, Asia, Latin America and Europe at a bilateral level. A number of regional conferences was also organised to enhance international cooperation in this regard. About the EU GF-AML/CFT : Funded by the European Commission since 2017, the EU GFAML/CFT aims to support third countries in their efforts to prevent money laundering and cut off access to funding for individual terrorists and terrorist organisations. Financed by the Commission’s Service for Foreign Policy Instruments (FPI), the project is implemented by Expertise France, in partnership with the Deutsche Gesellschaft für Internationale Zusammenarbeit and the Northern Ireland Cooperation Overseas.

Malta, through the Malta Business Registry, will be hosting the Corporate Registries Forum Annual Conference. This was announced during the CRF AGM which was organised in the Maldives and is currently being chaired by the United Kingdom. The Corporate Registries Forum is an association of international corporate registries with the aim of providing members with the opportunity to keep abreast with the latest developments in corporate business registers internationally as well as serving as a platform to exchange experiences and information on the present and future operation of corporate business registration systems. The CRF’s decision of choosing Malta as its next host demonstrates the trust in the Maltese jurisdiction given that it was only this year that Malta was accepted as a full member of this Forum as part of its 60 plus members across the globe.  Moreover, The MBR’s CEO and Registrar Dr Spiteri Lucas has been elected as part of the Corporate Registries Forum Executive Committee for the upcoming two years. This is the highest body within the fora that determines registry policies amongst its over 60 registry members. After a month-long election, member jurisdictions had to vote to choose from 15 candidates from various registries who put forward their candidacy with Malta making it eventually to the top. “We are delighted to have invited the Malta Business Registry to host the 2023 Annual Conference of the Corporate Registers Forum. In a very competitive process, the CRF Executive was impressed by MBR’s focus on Malta’s recent experience of being removed from the FATF grey list, and the reforms they put into place to achieve this. We are looking forward to what promises to be an excellent CRF Conference,” said Martin Fidler Jones, the CRF General Secretary. Minister for the Economy, EU Funds and Lands Silvio Schembri said that this was great news for Malta and reflects the sterling work being done by MBR. “MBR played a vital role in seeing that Malta emerges from the grey listing at the pace it did. One of the FATF’s concerns on Malta’s financial jurisdiction was the way it compiled information on the ultimate beneficial owners of Malta-registered companies. This was addressed through a string of upgrades at MBR” said Minister Schembri.   The MBR’s Chief Executive Officer and Registrar Dr Geraldine Spiteri Lucas expressed her satisfaction with CRF’s decision. “This news comes at an apt time, and we are committed to using this opportunity to build new bridges of cooperation, ignite discussions on challenges registries across the globe encounter as well as sharing our own experiences in the changes implemented that changed corporate as we know it today, from the establishment of an accurate BO Registry to compliance requirements. We look forward to welcoming registries from across the globe and to give my very best while on the Executive Committee,” said Dr Spiteri Lucas.

The Malta Business Registry and the Department of Accountancy within the University of Malta signed an agreement that shall establish greater collaboration and cooperation between both parties. The aim of the agreement is to set grounds for mutual assistance particularly related to research material and information related to the study units or dissertations organised or taking place under the supervision of the Department of Accountancy. Moreover, it paves the way for informative seminars for students and lecturers, provides adequate training, particularly those related to the latest legal overhaul, insight to Malta Business Registry’s personnel, guidance by the MBR personnel to students in choosing research questions, other relevant assistance to the lecturers and exchange of information. The Registrar and the Chief Executive Officer of the Malta Business Registry Dr. Geraldine Spiteri Lucas remarked that the agreement gives a clear signal of where we want to continue to take the Malta Business Registry, an entity which acts as a shoulder for businesses, will now simultaneously also serve as a shoulder to the educational lattice to sustain the interest that already exists in the work done as an entity. ‘During the year we receive about 20 requests for help in relation to research surveys being carried out by students’ for their thesis and research, requests for clarification of information, or a request for help which we have always ensured to give where necessary. However, with this agreement, we will be able to give more within the set parameters. I want to say that the growing interest in working in the field of company law and corporate is increasing. The law is a dynamic one that seeks to strengthen the interests of the Maltese jurisdiction. It is in this context that we felt that we should make this agreement after encountering student queries interested in conducting research in connection with the register of Beneficial Owners, cell companies, and company law itself soon after they were implemented. Through the research we were able to notice their potential and how they can continue to develop by means of more help and guidance from the Malta Business Registry’ said Dr. Spiteri Lucas. Dr. Emmanuel Said, the Dean of the Faculty of Economics, Management and Accountancy within the University of Malta remarked that the agreement seeks to bolster other research carried out within the Department whilst ensuring that students will have at hand better tools that are relevant for the industry. Profs. Alfred Vella, Rector of the University of Malta said that concurrently, several are the students studying accountancy who already have a hands-on experience within the employment field. ‘Through the agreement, future practitioners will have better tools at their disposal when dealing with this line of business. As an educational institution, we constantly strive to ensure that the teaching programs offered reflect today’s requirements of the accountancy profession whilst ensuring to provide what is sought by the industry’

English Version :- As communicated through a Notice published on 28 January 2022 – https://mbr.mt/2022/01/28/legislative-amendments-introduced-by-act-lx-of-2021/ – Act LX of 2021  introduces the requirement for companies to indicate their electronic mail address in the memorandum, in terms of article 69(1)(d) of the Companies Act. The scope behind this amendment is two-fold. Firstly, electronic communication serves to increase efficiency through timely communication by reducing the reliance on paper format communication to a company’s registered office. Certain correspondence may well be served to a company electronically and is many times more effective in reaching the concerned company officers. Secondly, the Malta Business Registry continuously strives as a central national registry and supervisory authority, toward implementing sustainable governance measures that correspond to corporate sustainability goals reflecting national and European Union initiatives in the sector. Limiting the amount of physical paper-format correspondence and shifting the emphasis to electronic means, will undoubtedly serve to reduce the use of paper and associated materials. Such measure is only one of those which will be undertaken as part of the responsibility in implementing measures synced with the European Green Deal. Companies are hereby being notified that an adequate electronic mail address that is accessible to all the company officers, is to be provided to the Malta Business Registry by 30 September 2022. It is advisable that this is done by filing an updated memorandum and articles of association. In instances whereby this is not possible, one may address a formal letter to the Registrar, sent to the attention of Ms Stefania Baldacchino. Maltese version :- Kif ġie mħabbar permezz ta’ Avviż ippubblikat fit-28 ta’ Jannar 2022 – https://mbr.mt/2022/01/28/legislative-amendments-introduced-by-act-lx-of-2021/- l-Att LX tal 2021 jintroduċi l-obbligu għal kumpaniji li juru l-indirizz eletroniku tal-e-mail fil-memorandum u dan skont l-Artikolu 69 (1) ta’ l-Att dwar il-Kumpaniji. L-għan ta’ din l-emenda huwa doppju. L-ewwel nett, il-komunikazzjoni elettronika iżżid l-effiċjenza permezz ta’ komunikazzjoni fil-ħin u tnaqqas is-serħan fuq komunikazzjoni fuq karti mibgħuta fl-indirizz irreġistrat tal-kumpanija. Ċertu korrispondenza tista’ tiġi mibgħuta lill-kumpanija elettronikament u ħafna drabi hija aktar effettiva sabiex tilħaq lill-uffiċjali tal-kumpanija kkonċernati. Fit-tieni lok, ir-Reġistru ta’ Malta tal-Kumpanniji dejjem jaħdem sabiex bħala reġistru ċentrali nazzjonali u awtorita’ ta’ superviżjoni, iwettaq miżuri ta’ governanza sostenibbli li jikkorrispondu għal għanijiet ta’ sostenibbilitá għal-kumpanniji li jirriflettu inizjattivi nazzjonali u tal-Unjoni Ewropea fis-settur.  Bla dubju li meta wieħed jillimita l-ammont ta’ korrispondenza fuq karti u jagħti importanza lill-mezzi elettroniċi , ikun qiegħed inaqqas l-użu ta’ karti u materjal relatat. Miżura bħal din hija biss waħda mill-miżuri li tittieħed bħala parti mir-responsabbilitá li twettaq miżuri li jimxu id f’ id mal – Patt l-Aħdar Ewropew. Bil-preżenti l-kumpaniji qegħdin jiġu avżati li għandhom jipprovdu indirizz elettroniku adegwat li huwa aċċessibbli mill-uffiċjali kollha tal-kumpanija, sat-30 ta’ Settembru 2022. Nissuġġerixxu li dan isir billi jiġu rreġistrati memorandum u artikli tal-assoċjazzoni b’ informazzjoni aġġornata. Fejn dan mhux possibili għandha tintbagħat ittra formali lir-Reġistratur , għall-attenzjoni ta-Sinjura Stefania Baldacchino.

Malta was voted off the Financial Action Task Force grey list on Friday. Much-awaited news that restores trust in the Maltese jurisdiction. A lot has been achieved in a short span of time particularly in relation to the FATF Action Plan which introduced new means of doing things that provide businesses with peace of mind when doing business. For the Malta Business Registry this does not mean the end of the journey. It is simply an acknowledgment of the tremendous work done and the start to pursue the path built.  Our work be it the enhancement of compliance requirements, new due diligence procedures and an up-to-date and fully populated Beneficial Ownership Registry are just a few of the key achievements which put the entity amongst key players in the fight against money laundering and the financing of terrorism. FATF said in a statement that Malta had strengthened its oversight of the financial sector, while the watchdog’s president, Marcus Pleyer, described Malta’s case as a success story and said that  the country was better placed to tackle money laundering and the financing of terrorism. Malta, he said, was now identifying companies that concealed their true owners, it was imposing more penalties for money laundering, and it had improved its company registry. In a conference that followed, Malta’s Prime Minister, Hon. Robert Abela said, “The reform process was a challenge which we turned into an example of how Malta was a reputable financial jurisdiction.” Dr. Geraldine Spiteri Lucas, the MBR’s Chief Executive Officer and Registrar said, “As an MBR we thank our hardworking employees, all companies, foundations, associations, CSPs who all understood MBR’s vision and adapted. Finally we would like to thank the Office of the Prime Minister, Ministry for the Economy, Ministry for Finance, and National Coordination Committee, all of which provided us with constant support in view of the necessary changes brought about in the best interest of the Maltese jurisdiction. The MBR shall remain as a shoulder to everyone who seeks its services and guidance. Our work is reflected in the up-to-date portal which we encourage everyone to use.”

Malta, through the Malta Business Registry (MBR), has become amongst the very first EU Member States, together with only two other jurisdictions (as at 08 June 2022), that have connected successfully to the BORIS. The latter is a decentralised system interconnecting the central national BO registers and the European e-Justice Portal through the European Central Platform, enabling the sharing of data between all EU Member States. BORIS serves as the main search service that is available on beneficial ownership information and whereby such information is that required by Directive (EU) 2015/849. Malta’s connection to BORIS signifies the willingness and significant planning towards the complete readiness to share the required data in line with other legislative requirements from its fully populated BO Register. Once the network expands, citizens would in return be able  to use this essential tool and prove its utility across the EU single market.  Such a stance will enable  a better share of information amongst the EU   on beneficial owners from a centralized platform. The Registrar and Chief Executive Officer of the MBR , Dr Geraldine Spiteri Lucas, remarked how  this follows a long process of end-to-end testing with the European Commission in order to be able to go live on the production environment. ‘The fact that we are amongst the first EU jurisdictions to implement such measures and integrate with such a system, sheds light and gives a sense of  recognition towards the non-stop work done to ensure an up-to-date and accurate BO Register which as time goes by  is proving to be an essential tool for local and international practitioners’ said Dr Spiteri Lucas.

The Malta Business Registry has officially become a member of the Corporate Registers Forum, an association of international corporate registries.  The aim of the Corporate Registers Forum is to provide members with the opportunity to keep abreast with the latest developments in corporate business registers internationally as well as it serves as a platform to exchange experiences and information on the present and future operation of corporate business registration systems.  The Chief Executive Officer of the Malta Business Registry Dr. Geraldine Spiteri Lucas remarked the importance of such membership that shall enhance the work done so far by the entity in enhancing transparency and the exchange of information.  ‘The Malta Business Registry’s membership of the Corporate Registers Forum compliments the entity’s work in shedding light on the work done on an international spectrum. Moreover, given the changes and new practices put in place in order to ensure an up-to-date registry, the Forum shall serve as a springboard to further explain other registries the methodologies of the registry’s day-to-day operations insofar; from BO’s information when registering a company to the MBR’s Supervisory role amongst others. All this to expand our efforts in the exchange of information to ensure a registry for peace of mind for our business community and beyond’ said Dr. Spiteri Lucas. Dr. Spiteri Lucas added that such membership shall serve as means to establish cooperation and collaboration with existing and new registries as well as boost MBR’s own international network.  Louise Smyth, President of the Corporate Registers Forum, said:“We are hugely excited to welcome Malta Business Registry to the CRF. We have an exciting programme of events over the coming year, to enable our corporate register members across the world to come together and share best practice globally. It has never been more important to work collaboratively and we are delighted to have our friends in Malta join us in this journey.”

The Directive No 19 on the use of cheques and bank drafts in terms of the CENTRAL BANK OF MALTA ACT (Cap. 204) seeks to ensure the safe and effective use of cheques and bank drafts, referred to as ‘paper-based instruments’, to reduce the legal and operational risks associated with these payment instruments. It is issued under the Bank’s remit as per the Central Bank of Malta Act, and is binding on financial and credit institutions in Malta. This Directive shall enter into force on the 1 January 2022. The below is a summary of the main Rules of the Directive: Cheques should be dated on the day they are issued (Paragraph 8); Should a cheque be issued post-dated, such cheque will be honoured by the bank on the day of receipt, irrespective of the future date (Paragraph 8). All cheques should be issued as ‘Only’ cheques meaning that cheques are not transferable and will only be payable to the named person on the cheque (Paragraph 8); An individual receiving payment through cheque is obliged to endorse at the back before presenting it at the bank (Paragraph 9); An individual with an instrument bearing on its face the word “Or Order”, as paper-based instruments are no longer transferable to third parties. Cheques below or equal to €20 cannot be issued from 1 January 2022 and will be dishonoured if presented at the bank. Should there be consecutive cheques issued by the drawer to the same payee over a short period of time, for amounts lower than or up to €5,000, the drawee institution may refuse to pay such cheques in cash. In the event that the payee does not hold an account with the drawee institution, the latter is only obliged to encash paper-based instruments for which the payable sum is equal or less than €5,000. The below is a summary of the main Regulations of the Directive: The restrictions imposed by the regulations apply to anyone even if for an unregistered private seller. The Regulations prohibit any person from making or receiving payment or otherwise carrying out transactions in cash amounting to or exceeding €10,000 or its equivalent in any other currency, whether in one transaction or in several linked transactions, in respect of the purchase or sale of: Antiques Immovable property Jewellery, precious metals/stones and pearls Motor-vehicles Sea-craft Works of Art A breach of the above-mentioned cash transaction limit constitutes an offence which renders the offender liable, upon conviction by the Court of Magistrates in its criminal jurisdiction, to a fine (multa) or criminal proceedings depending on the case. Failure by traders and notaries to abide by the procedures and requirements issued by the FIAU will result in an administrative penalty of not more than €5,000. The FIAU may issue a warning in writing instead of an administrative penalty. As from 1st January 2022, the Malta Business Registry (“MBR”) also needs to follow this directive and thus payments by cheques and bank drafts or by cash will be allowed using the following policy: In case of Cheques and Bank Drafts: Cheques will only be encashed or credited to the person named by the payer Cheques cannot be dated to a future date, and may be accepted in any case if presented before that future date Cheques equalling or over €5,000 can only be deposited into the beneficiary’s own account Cheques cannot be issued for amounts of €20 or less Cheque facilities will be withdrawn if cheques are repeatedly issued that cannot be honoured Service providers will ensure that all information related to cheques is retained for at least five years In case of Cash-based Transactions: Maximum cash amount accepted by MBR will not exceed €500 Payment in cash for the same transaction cannot be divided in parts (Vide: FIAU linked transactions) €500 notes are not accepted Multiple payments by the same person in cash may require additional (enhanced) due diligence More details about the Directive can be found on the Central Bank of Malta website ( News – Central Bank of Malta ( centralbankmalta.org ) ). Moreover, further details about the Cash (Restriction) Regulations can also be found on the FIAU website ( Cash Restriction – FIAU Malta )