Financial Crime World

MALTA TIGHTENS NOOSE ON FINANCIAL CRIME WITH STRINGENT LAWS AND REGULATIONS

As global financial crime threats continue to evolve, Malta has taken proactive steps to stay ahead of the curve by implementing a comprehensive framework to prevent and combat money laundering and terrorist financing.

Malta’s legal landscape is now bolstered by a range of laws, regulations, and directives designed to keep its financial system safe and secure. At the heart of these efforts are several key pieces of legislation:

  • Prevention of Money Laundering Act (PMLA)
  • Prevention of Money Laundering and Funding of Terrorism Regulations (PMLFTR)
  • Criminal Code

These laws provide a robust foundation for tackling financial crime, with specific provisions aimed at preventing money laundering and terrorist financing.

National Coordination and Regulation

The National Coordinating Committee on Combating Money Laundering and Funding of Terrorism plays a critical role in overseeing Malta’s anti-money laundering efforts. Regulations such as:

  • Centralised Bank Account Register Regulations
  • Use of Cash (Restriction) Regulations

provide additional tools for detecting and preventing financial crime.

EU Compliance

Malta is fully compliant with EU standards set by the Financial Action Task Force (FATF) Recommendations, which provide a global framework for combating money laundering. The country has implemented several EU directives aimed at strengthening its anti-money laundering regime, including:

  • Fourth Anti-Money Laundering Directive
  • Fifth Anti-Money Laundering Directive
  • Sixth Anti-Money Laundering Directive

The latest directive, published in November 2018, requires all member states to implement its provisions by June 2021. With these directives now in place, Malta’s financial sector is well-equipped to meet the evolving challenges posed by global financial crime threats, ensuring a safe and secure environment for businesses and investors alike.

Conclusion

Malta’s commitment to combating financial crime demonstrates its dedication to maintaining a stable and trustworthy financial system. By implementing stringent laws and regulations, the country is setting an example for others to follow in the fight against money laundering and terrorist financing.